Today, Wednesday, oil futures fell as a result of the gloomy economic outlook and the strength of the dollar, which outweighed concerns over supply because of the output increase by OPEC+ last week.
By 13:15 GMT, the price of Brent crude futures had down $1. 42, or 1.5%, to $92:87 per barrel, while the price of US West Texas Intermediate crude had dropped $1. 54, or 1.7%, to $87:81.
OPEC decreased their forecast for oil.
After agreeing to cut production by two million barrels per day in November, OPEC decreased its expectations for oil on Wednesday. Last week’s agreement with allies, including Russia, had lifted prices.
Citing the return of the procedures for containing the Kofid-19 in China and high inflation, the producers group reduced its expectations for growth this year by 460 thousand barrels per day to 2. 64 million barrels per day.
“The global economy plunged into a period of uncertainty and the mounting hurdles,” OPEC stated in its monthly report. On the side of the state, the state -owned company in Russia, said today, Wednesday, that it had received a notice from the Polish operating company Pern over a leakage in the Drogba oil pipeline that nourishes Germany, according to Interfax.
As a result of worries about inflation and the rate at which US interest rates are rising, the US dollar today, Wednesday, rose to its highest level against the yen in 24 years.
The strong dollar makes its reinforced commodities more expensive for other currencies, and tends to influence oil and high -risk oils, which prompted prices to land more.
The global growth prediction for 2023 was lowered by the International Monetary Fund on Tuesday, and it issued a warning against raising the probability of a world recession.
Fears of an economic slump and the strength of the currency put pressure on oil prices.
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