Oil prices skid on last Wednesday as concerns with the U.S fuel demand may not recover so fast. Due to corona virus pandemic, crude stocks bigger than the expected drawdown in the U.S. The financial analysts said that investors always keeping eyes on main countries ministerial meeting because Brend crude futures fell at 0.8 percent, to $45.08 a barrel by 0029 GMT, having to go up 9 cents on last Tuesday. The West Texas Intermediate (WTI) crude futures were decreased to 25 cents, or 0.6%, at $42.64 a barrel, having ended unchanged the last day. Demand always concerns with the oil prices, US economic stimulus still on the sight. The oil prices will stay within a fixed range among the mixed signals.
As per the analysts, crude inventories reduced by 4.3 million barrels to about 512 million barrels it was more than the expectations. As per the industry data from the American Petroleum Institute showed that about 2.7 million-barrel drawdown. Kikukawa said that the losses were limited by the positive news include a drop in US crude stocks. The expecting prices will stay the same in the present situation. Investors are eagerly waiting for the news from the meeting of the petroleum exporting countries (OPEC), which is set analysis of adherence to a previously agreed deal on oil output cuts. The output cuts stood at 95-97 percent last July, as per OPEC+. Sources and as per the report reviewed.
Due to the slight change in oil prices as concerns with US fuel demand so global oil producers feared that a second. Global oil demand should pick up to pre-pandemic levels as soon as the fourth quarter; the Saudi Energy Minister said that while urging compliance with a global deal to reduce the output. The Organization of the Petroleum Exporting Countries and its allies such as Russia, a grouping dubbed OPEC+, began a meeting on Wednesday to review the compliance levels with the deal, aimed at supporting prices. U.S. Energy Information Administration data showed that the crude oil stockpiles fell 1.6 million barrels last week, while fuel demand was decreased by 14 per cent from the year-ago period over the last four weeks. OPEC+ sources have said the group was unlikely to change on Wednesday its output policy, which currently calls for reducing output by 7.7 million barrels per day (BPD) versus as a record-high 9.7 million BPD up until this July.
