Market updates and forecasts

Get the latest economic news from ForexMart, including updates on the financial market, central banks' policy announcements, financial indicators, and other relevant news which can have an impact on the industry.

Disclaimer:  Information provided here to retail and professional clients does not contain and should not be construed as containing investment advice or an investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance.

Oil prices are declining after a sharp rise last week


February, 13 2023
watermark Economic news

At the beginning of the new trading week, oil prices are falling after a significant increase last Friday, when quotations jumped from the level of $84.15 per barrel to $86.80 on the news of Russia's intention to reduce production.


The current price of Brent oil on Monday is $85.50 per barrel. North American WTI oil has similar dynamics: it is trading near the level of $78.90 per barrel after rising to $80.20 last week. In total, over the past week, Brent has risen by 8.1%, WTI – by 8.6%.


The oil market was supported on Friday by information that in March Russia intends to reduce oil production by 500 thousand b/d. Analysts note that such a decision was the first serious signal that Western sanctions imposed against Russia are having an impact on its production.


Economists believe that OPEC+ is unlikely to increase oil production in response to Russia's actions. It is noted that currently only Saudi Arabia and the UAE have spare capacity to increase production.


It is also worth noting that the probability of a decrease in Russian production by 700-900 thousand barrels in 2023 is already included in prices, so the impact of this factor on market dynamics will be limited. Analysts note that the main factor that can lead to the exit of prices from the current range is the dynamics of Chinese demand.


Feedback

ForexMart is authorized and regulated in various jurisdictions.

(Reg No.23071, IBC 2015) with a registered office at Shamrock Lodge, Murray Road, Kingstown, Saint Vincent and the Grenadines

Restricted Regions: the United States of America, North Korea, Sudan, Syria and some other regions.


© 2015-2024 Tradomart SV Ltd.
Top Top
Risk Warning:
Foreign exchange trading carries a high risk of losing money due to leverage and may not be suitable for all investors. Before deciding to invest your money, you should carefully consider all the features associated with Forex, as well as your investment objectives, level of experience, and risk tolerance.
Foreign exchange trading carries a high risk of losing money due to leverage and may not be suitable for all investors. Before deciding to invest your money, you should carefully consider all the features associated with Forex, as well as your investment objectives, level of experience, and risk tolerance.