Price dropped to a level of less than 62 dollars per barrel.
In the course of trading in London futures price of Brent crude oil for delivery in January 2019 fell 3 percent to less than 62 dollars per barrel. It is – at least from the beginning of 2018, reports “Radio Freedom”.
Oil prices started plummeting in the first half of October 2018. At the beginning of October the price of Brent rose above 82 dollars per barrel, and WTI Cinemark – above 73 dollars. Since the beginning of the decline in the price of Brent crude decreased by about 28 percent. The recent collapse in the oil market was the sharpest in three years.
Last year the world prices for oil grew because of fears of US sanctions against Iran, and also in connection with the agreement of OPEC countries+ for the reduction of oil production. Sharp change in market sentiment was caused by the information on increase of oil production growth against the background of predictions about the decline in global demand. In addition, it was found that potential losses from the ban on exports from Iran will be completely blocked due to the growth of production of Saudi, American and Russian oil.
According to official us data, in September the United States has become the world’s largest oil producer due to shale gas exploration.