Jump to content

Oil drops below $80 on European COVID concerns


MongiIG

Recommended Posts

image.png

By Ron Bousso, 19th November 2021

LONDON (Reuters) - Oil prices dropped below $80 a barrel on Friday as a fresh surge in COVID-19 cases in Europe threatened to slow the economic recovery while investors also weighed a potential release of crude reserves by major economies to cool energy prices.

Brent crude was down $1.54, or 1.9%, at $79.70 a barrel by 1023 GMT after earlier rising to as high as $82.24, extending volatility seen on Thursday.

U.S. West Texas Intermediate (WTI) crude for December delivery was down $1.38, or 1.75%, at $77.63 a barrel, having swung through a range of more than $2 the previous session before closing higher as well.

The WTI December contract expires on Friday and most trading activity has shifted to the January future, which was down 1.8% at $77 a barrel.

Both Brent and WTI are set for a fourth week of declines.

Austria became the first country in western Europe to reimpose a full coronavirus lockdown this autumn to tackle a new wave of COVID-19 infections across the region that threatened to slow the recent months' economic recovery.

Brent has surged almost 60% this year as economies bounce back from the pandemic and the Organization of the Petroleum Exporting Countries (OPEC) and allies, known as OPEC+, has only raised output gradually.

Governments from some of the world's biggest economies were looking into releasing oil from their strategic petroleum reserves (SPR) following a request from the United States, first reported by Reuters https://www.reuters.com/business/energy/exclusive-us-asks-big-countries-coordinate-releases-oil-reserves-sources-2021-11-17, for a coordinated move to cool prices.

Speculation about a U.S. stock release has already pushed oil prices down by about $4 a barrel in recent weeks and additional supplies of up to 100 million barrels are already priced in, Goldman Sachs (NYSE:GS) oil analysts said in a note.

 

As a result, it said any release "would only provide a short-term fix to a structural deficit".

OPEC has maintained what analysts say is unprecedented restraint on production, even as prices have rebounded from the depths of the early stages of the pandemic.

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • image.png

  • Posts

    • Sounds like you are looking at the ask price, or the mid price. I don't have access to the 10sec data at that time, but the 1 minute candle had a low at 7947.7. Ask low was 7954.7. So I guess you had a long position; in this case look at the bid price to see what is going on.
    • What really caught my eye about ChatAI is the way it aims to go beyond the limitations of traditional social media platforms. Instead of relying on text-based or voice-based interactions alone, this project is designed to support multimodal communication, allowing users to engage through a variety of formats like text, voice, and images. ChatAI is positioning itself as a revolutionary social application that combines advanced AI capabilities with the power of decentralized technology. The core idea is to open up a new era of social interaction by leveraging cutting-edge natural language processing (NLP) to enable smooth and efficient communication. But it's not just about the technical capabilities - ChatAI also seems to have a strong focus on personalization and continuous learning. The platform is built to continuously optimize its performance based on user data, adapting to individual preferences and enhancing the overall user experience over time. I was really excited to hear the news that the ChatAI (CHATAI) token is now listed on the Bitget cryptocurrency exchange. As someone who is deeply interested in the intersection of artificial intelligence, web3 technology, and social media, this listing feels like a significant milestone for the project.
    • I could remember what happened to Binance & kucoin. This might be another slap in the face of SEC but who knows, let's see how this unfolds. 
×
×
  • Create New...
us