Oil moves under the guidance of the trump
Brent crude oil prices rose slightly on Wednesday, and even managed to close above the level 78. Today, however, the asset failed to maintain bullish momentum – prices are falling again and again under the influence of signals from trump, who recently conducts commodity areas through their publications on Twitter.
This time the leader of the White house urged OPEC to lower the price of gasoline. Earlier quotations ranged at the history of Saudi Arabia and its promise Trump to increase production by 2 million barrels per day, but in General the American President calls the cartel manipulator and called for a decrease in prices for black gold.
Tweets trump make market participants nervous, providing a chaotic and short-lived impact on the price dynamics. The main focus of attention of players is chained to future action by OPEC. There is a danger that exporters will increase production more than expected, minimizing their untapped power. In this case, the price will really come down to a more modest ranges.
On the other hand, there is the risk of shortage of supply, as well as doubts that OPEC and the US will be able to compensate for it. This prospect keeps prices afloat, and in the case of implementation can lead to a sharp rise in energy prices.
In the short term, Brent will have to wait for the statistics from the Ministry of energy. A further reduction of stocks of crude oil and petroleum products play into the hands of the bulls, who once again will try to return the barrel beyond the level of 78.
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