Oil prices they continue to grow sharply today. Both main contracts strengthened at their peak today by another more than 6%, Brent was moving near 114 USD a American WTI around 110 USD for barrel. WTI is now at its highest since April 2011, Brent is the highest since spring 2013.
Today, the OPEC + group discussed further setting of production limits. There was considerable concern about the possible download Russian supply from the market.
Mask produces about 11 million barrels of oil per day and about half of this production is destined for export. Russian production represents about 12% of world production.
However, the group decided to keep the current framework for increasing monthly production to the current 400,000 barelech daily production, which met market expectations – see in more detail OPEC + Group, including Russia, will hold current production limits despite market problems and price increases above $ 100 per barrel
Nor does the decision of the IEA member states to release the IEA together from the market help to stabilize the market reserve approximately 60 million Member States barrels. Of which USA should release a full 30 million barrels. The market perceives this decision as insufficient and therefore did not have a significant effect on the overall market mood.
Analysts expect that Brent will soon rise above 120 USD for barrel. Many analysts now believe that one of the few elements that could stabilize the situation will be only the total destruction of demand due to disproportionately high prices. Both main contracts have already grown by more than 40% this year.
Details about exports Russian oil (how many, where) you will find in the message Sanctions have hit Russian oil. Europe is its main destination – how much would anyone miss?
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