11:38 - 12.01.2021

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January 12, Fineko/abc.az. Prices for oil of standard grades are declining in Tuesday’s trading.

By 9:23 am, at the London ICE Futures Exchange the price of March’s Brent crude futures fell by $0.12 (0.22%) to $55.54 per barrel. At the end of trading on 11 January the Brent futures for March decreased in price by $0.33 (0.59%) to $55.66 per barrel.

By 9:23 am, at the New York Mercantile Exchange (NYMEX) the WTI oil futures for February fell in price by $0.09 (0.17%) to $52.16 per barrel. Following the trading on 11 January the WTI oil futures for February grew in price by $0.01 (0.02%) up to $52.25 per barrel.

International Energy Agency’s head Fatih Birol stated in an interview for Bloomberg TV that at the current price level the oil production is profitable for many American shale companies, and they will be able to increase production.

CMC Market Asia Pacific’s analyst Michael McCarthy believes that with the WTI price above $50 a barrel the shale production is starting to increase and traders will be very closely watching data on US oil reserves in the coming weeks to see if this forecast is realized.

The pressure upon the market is also exerted by the strengthening of the US dollar, which reduces the attractiveness of investments in dollar-denominated commodities.