World oil prices fell on Friday by more than 1% on stronger dollar and reports of Saudi Arabia’s plans to increase oil supplies to Asia, reports Reuters.
As of 10:01 Moscow time the cost of January futures for North sea petroleum mix of mark Brent was 48,44 USD per barrel (-1,1%), the price of WTI 47,41 dollars per barrel (-1,2%).
According to traders, the main factor that weigh on prices was the strengthening dollar, which in November peaked in 2003 to a basket of major currencies.
In addition, the impact on the markets has had also reports that the largest in Saudi Arabia mining company Saudi Arabian Mining Co (Aramco) plans to increase oil supplies in some Asian countries in January 2017, despite the plans of OPEC at the conclusion of the agreement on the limitation of the production levels of “black gold”. The official meeting of the organization, which has to be decided on this issue, is to take place next week, 30 November, in Vienna.
In General, traders say low activity on the market due to the celebration of thanksgiving Day in the United States and in anticipation of the weekend.
We will remind that in the beginning of this week the world prices for oil grew. However, they will collapse if OPEC fails to reach an agreement to limit production, writes the Financial Times. The majority of market participants are inclined to believe that some kind of agreement in any case will be signed – the question is whether it will be effective.