Oil: Growth of world prices there is no danger
Wednesday quotes Brent added a bit in price, but remained under the 80 mark, continuing the consolidation against the background of indecision of market participants. Data US Department of energy is not instilled in players ‘ optimism, and speculation about a renegotiation of the deal, OPEC has held back growth efforts. In Asia, the barrel shows a modest bearish bias in the area of 79,50.
Last week, according to the US Department of energy, hydrocarbon reserves in the country increased by an impressive 5.8 million barrels against forecasts for a drop of 1.5 million Production has continued to grow and increased by 2 thousand barrels per day, reaching a new record level 10,725 million barrels per day. Gasoline inventories grew by nearly 2 million barrels against expectations of reduction by 1.4 million in Other words, the release of disappointing on all fronts, but not much of a surprise to market participants who have become accustomed to with the ongoing increase in activity in the shale fields of America.
In addition, traders are now focused on sanctions against Iran and Venezuela. This factor pushed Brent crude to fresh highs in the area of 80,50. Now, however, in the commodity segment begin to grow concerns about the fact that this factor can also encourage OPEC countries to mitigate the conditions of the current agreement at the summit in June. On the eve of the speculation on this subject has intensified.
At this stage the new comments on the possible easing of quotas in order to compensate for barrels that will be lost due to the fall proposal from Iran and Venezuela, may increase pressure on Brent and lead to more aggressive profit taking on long positions, and the signals from the States also speak in favour of such a scenario.
However, in the broader context of the overall picture of the oil market remains favorable, Brent continues to trade in line with the bullish trend, the integrity of which is not threatened.
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