The barrel price of Brent oil, which rose to $ 76.75 yesterday, completed the day at $ 76.29. As of 09:15 today, the price of a barrel of Brent oil decreased by 0.7 percent compared to the closing date and became 75.75 dollars. In the same minutes, West Texas type (WTI) crude oil found buyers at $71.26 a barrel.
Mixed economic data from the USA and China, the world’s largest oil consumers, increased global economic recession concerns, which contributed to the decline in prices.
Oil prices rose more than $1 on Monday after Saudi Arabia’s decision to cut an additional 1 million barrels per day in oil production in July. However, growing concerns about the economic slowdown have restrained oil prices since Tuesday, curbing the OPEC+ group’s efforts to support prices.
The news flow that the world’s largest oil importer, China, contracted much faster than expected in May and imports decreased, albeit more slowly, suppresses prices. China’s foreign trade surplus in May is below expectations with 65.8 billion dollars.
Uncertainties regarding the monetary policies of the US Federal Reserve (Fed) also cause investors to act cautiously. While it is predicted that the Bank will keep the policy rate constant with an 81 percent probability in the pricing in the money markets, the expectations that the final interest rate will be set at 5.25-5.50 percent remain strong.
On the other hand, the American Petroleum Institute announced that a decrease of 1 million 710 thousand barrels was predicted in the country’s crude oil stocks last week compared to the previous week. The market expectation was that there would be an increase of 1 million 500 thousand barrels.
The decrease in inventories created the perception that the demand was high in the country and limited the downward movement of prices. Official stock data from the U.S. Energy Information Administration will be released today.
Experts predict that the approach of the summer travel season, along with the concerns of shrinkage in supply, will increase the demand for gasoline and jet fuel in the coming months, and prices may hover in the range of 80 to 90 dollars.
It is stated that technically, the range of $75.89 to $76.02 in Brent oil can be viewed as resistance, and the range of $75.66 to $75.56 as support.