Oil prices continue to show downward trend
In the course of trading on Tuesday the price of oil reference marks continues to fall.
Pressure on the market have a lingering concern that easing restrictions could lead to a second wave of coronavirus, which again will limit the demand for oil.
The cost of the August futures for Brent crude on London’s ICE Futures exchange by 14:35 Moscow time made $of 41.26 per barrel, or $0,45 (1.08 per cent) below the price of closing of previous session.
Today’s expiration of the August contracts for Brent expires. The more actively traded September futures traded around $41,4 per barrel.
The WTI crude for August in electronic trading on the new York Mercantile exchange (NYMEX) by this time has decreased in price by $0,37 (0,93%) to $by 39.33 per barrel.
The head of the world health organization (who) tedros adhanom Ghebreyesus on Monday said that “despite the fact that many countries around the world have made some progress, in fact, the pandemic at the global level, is gaining pace.”
Dozens of U.S. States, including Florida, Texas, California and Arizona, which were experiencing a growth in the number of infections, postpone plans to open the economy and introduce new restrictions to prevent further spread of the infection, writes The Wall Street Journal.
Meanwhile, according to analysts S&P Global Platts, the demand for gasoline in the U.S. in the week ended June 27 rose by about 2%.
“However, the market held its breath in anticipation of an important weekend on the occasion of July 4 (U.S. independence Day), when the expected increase in travel,” noted analysts at ANZ.
In their view, if U.S. residents will travel during this period, it “can lower expectations of restoration of demand for gasoline in the summer in the United States.”
Meanwhile, Japan may reduce oil imports by 25 percent annually – to its lowest level since 1967 to 2.28 million b/d, according to the Ministry of economy, trade and industry of the country.