Drop in crude oil prices, with continued fears surrounding the global economy and the abundance of oil supply
I went crude oil prices to record its lowest level in four months, with concerns about the survival of the world's oil supply crunch and the willingness of OPEC oil-exporting countries to restore production. Oil prices closed yesterday below the level of US $ 40, specifically at $ 39.51 a barrel as the market awaited the release of the updated weekly data for US oil inventories later in the day. This reminded that the US dollar's decline gave support after oil prices due to increased demand for fuel imports, which become cheaper for countries that use non-dollar currencies.
According to a study conducted by Bloomberg analysts expect that the Energy Information Administration to announce low US crude inventories rose 1.75 million barrels last week while supplies rose to 521.1 million barrels in the period ended July 22 to make it higher than the five-year average of 100 million barrels. Projections also indicate the possibility of fuel inventories fell by 550 thousand barrels. While it is expected to be US crude stocks and gasoline fell last week, but it probably will remain near the highest seasonal levels in at least two decades in. Of the most important news on the oil scene it was also a Nigeria to resume their payments to militants after attacks have reduced the country's production of oil to its lowest level since 1989 and the arrival of factions in Libya to agree to reopen the oil stations in the country.
Now it is crude oil trading promptly at 10:54 GMT Riyadh slightly higher by 0.10%, and at $ 39.55 a barrel As for Brent oil was traded lower by 0.07%, and at $ 41.77 a barrel.