The cost of WTI crude oil fell below $28 per barrel

The cost of WTI crude oil fell below $28 per barrel

According to the auction, the March futures price for Brent blend had dropped to 27,41 USD per barrel, the price of WTI fell to 27.9 per barrel for the first time since September 2003.

MOSCOW, 20 Jan. Oil prices Wednesday continue to decline amid global oversupply of raw materials on the market; WTI for the first time since September 2003 fell below 28 dollars per barrel, according to AFP.

As at 19.56 Moscow time the March futures price for North sea petroleum mix of mark Brent fell to 4.68 percent to 27,41 USD per barrel. The price of March futures for WTI crude oil fell by 5.65% to 27.9 us dollar per barrel, first time since September 2003, having fallen below a mark 28 dollars per barrel.

Negative dynamics of trade associated with the return of Iranian oil to the world market. Saturday, January 16, Iran got rid of the majority imposed on the country sanctions after confirmation of readiness of authorities to implement the program significant reduction of its nuclear potential. Now market participants expect that the Iranian side will be able in the next few weeks to increase deliveries of oil on 500 thousand barrels a day.

In addition, the International energy Agency (IEA) in its January report on Tuesday said that does not exclude further decline in world oil prices on the background of the conservation in 2016, the excess of supply over demand. The Agency expects that for the third consecutive year the offer will exceed the demand by one million barrels a day.

Bidders are also now in anticipation of data on oil reserves in the U.S. from the Ministry of energy of the country, which will be published on Thursday. According to analysts, crude inventories for the week ended January 15 rose by 3 million barrels — up to 485,6 million barrels. Last week the oil reserves in the country grew marginally to fixing 482.6 mm million barrels.