Oil went down
It is going to its lowest level since the end of March, after the decline in the USA shares.
The decline in the inventories in America showed the lower numbers than everyone expected. This Thursday is the fourth day of oil drop in prices. Since the last numbers of March, it is the weakest prices. Commodities market can be thankful to the USA reports.
While analysts were expecting to see 2.3 million barrels decrease, the real report showed 930 000 barrels fall in the end of April. Shares have been declined during the past 4 weeks constantly. With the 527.8 million barrels they only have to gain 7 million barrels more and go to the record.
On Thursday, Brent oil benchmark went down and lost 32 cents, to the 50.47 dollars.
Meanwhile, the famous American benchmark, WTI has lost 32 cents as well and was equal to the 47.50 dollars per barrel.
Yesterday both names have reached its lowest prices for the last few months.
Right now, the main key to the changes in prices is the USA oil production. Its inventories are high, and the quarter reports lower the prices since the OPEC decision to cut their own output of oil.
Despite all optimistic prognosis, cut of OPEC’s output do not give needed results. The oil glut is still the global problem.
If the OPEC members and their friends will not sign another agreement which will prolong the first one, prices will fall down immediately, and OPEC will not be able to hold them at 50 dollars per barrel.