English
Oil is deepening its losses and preparing for the second monthly decline as the virus spreads
Global oil prices fell by more than 1 percent, to continue to suffer losses and are heading towards the second monthly decline due to growing fears that the increase in Covid-19 cases in Europe and the United States may harm fuel consumption.
Brent crude fell for a third day and fell 51 cents, or 1.4 percent, to $ 37.14 a barrel before the European markets opened, after touching a five-month low in the previous session. Brent's December delivery contract expires today.
US West Texas Intermediate crude fell 48 cents, or 1.3 percent, to $ 35.69 a barrel, after falling to its lowest level since June on Thursday.
"In light of a European slowdown threatening global consumption and the return of Libya's production, the onus must now fall on OPEC + to reconsider increasing its production by two million barrels per day in January," said Jeffrey Haley, chief market analyst for the Asia-Pacific region at Oanda in Singapore.
He added that it is unlikely that oil prices will maintain any rise in this atmosphere that lacks a statement from OPEC +.
The Organization of the Petroleum Exporting Countries (OPEC) and its allies led by Russia, a group known as OPEC +, are expected to raise production by 2 million barrels per day in January as part of their production deal.
But Saudi Arabia and Russia, two major producers, support maintaining the group's production cuts of about 7.7 million barrels per day currently next year, with the threat of renewed isolation measures in Europe to slow demand specifically.
