Moscow. May 2. The price of oil, sank on Monday to their lowest levels in five weeks, continued to decline on Tuesday.
The cost of July futures for Brent crude on the London ICE Futures exchange to 8:10 Moscow time fell by $0.1 (or 0.19%) to $51,42 per barrel. By the close of market on Monday, the futures dropped in price by $0.53 (1.02 per cent) to $51,52 per barrel.
Futures price for WTI crude oil for June on the electronic trading on the new York Mercantile exchange (NYMEX) decreased by this time $0,14 (0,29%) to the $48.7 per barrel. The contract fell $0.49 (0.99 percent) to $48,84 per barrel at the end of the previous session.
Concerns related to the fact that the growth of oil production in the U.S. will nullify the efforts of oil producing countries to reduce the excessive world fuel reserves, continue to exert pressure on the market, writes MarketWatch.
“When uncertainty about future OPEC policy, the upward trend of oil production in the US will remain the most important restraining factor for the market in the medium term”, – said the analyst edition of the Sevens Report Tyler Ritchie.
Baker Hughes data published last Friday pointed to the increasing number of oil rigs in the United States for the 15th consecutive week.
Experts have expressed concerns that even if the extension OPEC and non-OPEC agreement to reduce oil production, decrease in production may be insufficient to reduce global stocks of raw materials to an acceptable level.
OPEC States will hold on may 25 another regular meeting where they will discuss the possibility of extending the agreement to cut production.