Brent crude oil fell below $38 per barrel for the first time since 2008

Brent crude oil fell below $38 per barrel for the first time since 2008


The cost of the January futures for North sea petroleum mix of mark Brent fell by 5.3% to thus 37.64 USD per barrel, dropping below $ 38 per barrel for the first time since December 2008.

MOSCOW, 11 Dec. The world prices for oil during the auctions on Friday has continued to plummet; Brent crude fell more than 5% and WTI by more than 3% after the publication of the report of the International energy Agency (IEA) on global oil demand in 2015-2016, according to AFP.

As at 20.22 GMT the price of January futures for North sea petroleum mix of mark Brent fell by 5.3% to thus 37.64 USD per barrel, dropping below $ 38 per barrel for the first time since December 2008. The price of January futures for oil of mark WTI has decreased on 3,01% to 35,66 dollars per barrel.

According to a report by the IEA, its new forecast coincides with the previous one. The Agency still expects demand growth in 2015 to 1.8 million barrels of oil a day, and in 2016 — 1.2 million barrels a day.

In addition, the report notes that in November crude oil supplies to the world market exceeded 96,9 million barrels a day, amid supply growth from OPEC. Meanwhile, shipments from countries outside the cartel amounted to 58.5 million barrels per day. Oil production by OPEC in November increased by 50 thousand barrels per day, up to 31,73 million barrels per day.

The negative dynamics of oil continue to affect the OPEC’s decision of 4 December. The organization decided not to change quotas on oil production, amounting to 30 million barrels per day, thus decided to maintain the level of actual production that exceeds the quota by 1.5 million barrels.

In addition, the dynamics of trading can influence the data of the American oil service company Baker Hughes on the dynamics of drilling rigs for the week, which will be published later on Friday. A week earlier the number of installations decreased by 7 units, or 0.9%, and amounted to 737 units. In annual terms, this figure dropped to 1,183 units, or 61.6%.