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The cost of oil futures has fallen markedly today amid fears that weak economic growth will lead to a reduction in demand.
Pressure on prices also had a decrease in the United States Department of Energy forecast for oil prices this year and next year. Now, experts expect that the average price of WTI crude oil this year and next year will be $ 97.72 and $ 94.58 per barrel, respectively. Previous projections assumed $ 98.28 this year and $ 94.67 next year. According to the Ministry, the average price of Brent crude oil in 2014 and 2015 to reach $ 104.42 and $ 101.67, respectively. Forecast for the last month estimated average price of $ 106 and $ 103, respectively. Meanwhile, the ministry raised its forecast for total oil production in the United States in 2014 to 8.54 million barrels a day compared with a previous forecast of 8.53 million barrels per day. The forecast for 2015 was lowered from 9.53 million barrels per day to 9.5 million barrels per day. Forecasts the volume of production in 2015 is likely to be the maximum average annual rate since 1970. Also, the Ministry of Energy lowered its forecast for global oil consumption to 91.47 million barrels a day this year and up to 92.71 million barrels per day next year. Last month, a similar forecast assumed 91,550,000 barrels per day in 2014 and 92.89 million barrels per day in 2015.
"In the oil market is a tendency to decrease. One of the main news - falling prices in Saudi Arabia, which excludes the possibility of reducing production in the near future, "Belgian Foreign at CMC Markets. Recall, Saudi Arabia gave a big discount to Asian customers on November party, demonstrating the desire to increase market share.
According to experts, the market does not put in quotes geopolitical risks, but it can influence events in the Middle East. The fighting between the Kurds and the Islamic state are on the border of Syria and Turkey, and NATO Secretary General promised to support Turkey if it will suffer from the actions of the Islamists.
The dynamics also affect the expectations of tomorrow's publication of data on oil reserves in the United States / According to a survey last week oil reserves could increase by 2 million barrels, while distillate inventories and gasoline - to cut. Meanwhile, we add that later today the American Petroleum Institute will release its inventories report.
The cost of the November futures for the American light crude oil WTI (Light Sweet Crude Oil) fell to $ 89.27 a barrel on the New York Mercantile Exchange (NYMEX).
November futures price for North Sea Brent crude oil mixture fell $ 1.17 to $ 91.68 a barrel on the London exchange ICE Futures Europe.
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