Oil prices lower after strong growth ahead

Oil prices lower after strong growth ahead


Analysts note that there are no fundamental indicators that would suggest the return of oil prices to the level $ 50.

MOSCOW, 29 Oct. Oil prices on Thursday moved to reduce after the day before their length exceeded 5% after the data on stocks in the U.S., according to AFP.

As at 07.50 MSK price of the December futures for North sea Brent blend fell by 0.63% to 48,86 dollars per barrel, WTI light crude oil — on 0,44%, to 45,74 dollars per barrel.

According to the energy information administration of the U.S. Department of energy, commercial oil reserves in the country (excluding strategic reserves) for the week ended October 23, increased by 3.4 million barrels, or 0.7%, to 480 million barrels. This indicator has completely coincided with forecasts of analysts. While the stocks of gasoline in the U.S. fell by 1.1 million barrels to one million barrels of 218.6. Analysts had expected a decline by to 0.817 million.

“I am not surprised that prices have gone up, but I see no fundamental indicators, which suggest that we return to the price of oil at level 50 dollars”, — said the Agency MarketWatch Manager Tyche Capital Advisors Tariq Zahir (Tariq Zahir).