The value of the futures contracts of Brent crude oil for January delivery fell below $44 a barrel. 19:03 MSK barrel of Brent was trading at $43,95/bbl. This is 1.79% lower than the previous close.
During today’s trading, Brent for maximum reached $44,98/bbl. At a minimum barrel of Brent brand fell to $43,94.
The last time the price of Brent fell below $44 on 11 August. Then Brent fell to $accounting period by 43.46 per barrel.
According to Bloomberg, the price of oil fell sharply after news that Iran has increased production at three fields earlier than expected. According to Baker Hughes Inc., USA may have added 130 new rigs.
The International energy Agency explained that in the past three weeks the price of oil is declining due to skepticism regarding the ability of OPEC to agree to reduce oil production at the Vienna meeting, which is scheduled for November 30.
“The announcement of Iran on the increase of oil production to 250 thousand barrels per day in the Western fields is the latest sign that production is increasing. Uncertainty regarding the ability of OPEC to cut production has destroyed all growth in the previous month,” said Jean Mcgillian, Manager of market research for Tradition Energy in Stamford, Connecticut.