The future of crude oil prices

The future of crude oil prices

As of press time, the lowest price touched the 622 level. Analysts said that because of this news, the market previously thought that the countries that reduced production would still maintain the target set in the production reductionThe future of crude oil prices agreement until the end of 208 was undermined.

Since then, international oil prices have continued to strengthen. After closing on Monday, as of 9:00 on the 25th, Beijing time, the Brent crude oil futures price rose by 0.54% to 8 US dollars per barrel, and the New York crude oil futures price rose 0.44% to 79 US dollars per barrel. Market participants pointed out that the oil-producing countries have not reached an agreement on increasing oil production or continue to boost international oil prices, and the crude oil market will face a supply gap in the next six months.

Iraq’s Kirkuk Province has the largest oil field in the Middle East. Since 207, Iraq has shipped Kirkuk’s oil to Iran’s refineries, and Iran has shipped the same amount of oil to Iraq’s southern ports.

On September 7 before the Mid-Autumn Festival holiday, domestic refined oil products experienced the 8th adjustment, which was also the first increase during the year. In this price adjustment, gasoline and diesel have risen by 45 yuan/ton respectively, and the car will spend an extra 5 yuan to fill the fuel tank. As of the last oil price adjustment, gasoline has been raised by RMB 00/ton and diesel by RMB 060/ton during the year.

In Iran, in response to the economic sanctions imposed by the United States on Iran, Iran has decided to lift the ban on the export of crude oil from private companies, hoping to relieve the economic pressure through the export of private companies in the domestic market. This matter was confirmed by Iranian officials. Earlier, Iran’s Minister of Petroleum Zangane stated on June 0 that Iran’s newly commissioned refined oil project would exempt it from US sanctions. If the current temporary easing of the US-Iran situation is set aside, Iran's export of crude oil through private companies will not only ease the economic pressure, but also solve the problem of oil supply to the global market.

As Iran, Libya and Venezuela continued to decline in crude oil production, the implementation rate of OPEC's production cuts in July only dropped to 0%, which isThe future of crude oil prices still a certain distance from the planned 00%. This has created conditions for OPEC to further increase production.

Hansen, head of commodity strategy at Saxo Bank, said that in the next few days, WTI crude oil will face a resistance of $620. Hansen said in his June 6 report that the two-week correction period for WTI crude oil showed that oil prices had wiped out half of the February-May increase. Resistance may appear before $620 per barrel, and downside risks will depend on how many funds hope or need to further reduce their long positions.

The current round of domestic refined oil price adjustment coincides with the May 1st holiday. Private car owners and logistics companies will increase their fuel costs during the May 1st holiday. Based on an ordinary private car with a fuel tank capacity of 50L, after this price adjustment, car owners will spend about 8 yuan more to fill a tank of fuel.