Brent is trading below $42 per barrel

Oil quotations on Thursday morning continue to decline after falling due to data on the growth of petrol stocks in the country, Interfax reports.

December futures for Brent fell in price by $0.24 (0.58%), to $41.49 per barrel on the London ICE Futures exchange. Brent price decreased by $1.43 (3.3%) on Wednesday.

December futures for WTI on the New York Mercantile Exchange (NYMEX) by this time fell in price by $0.28 (0.7%), to $39.75. During the previous session, the contract went down by $1.67 (4%).

On Wednesday the US Department of Energy said that petrol stocks in the country rose by 1.9 million barrels last week. Analysts surveyed by S&P Global Platts predicted a 1.6 million barrels drop in stocks. The American Petroleum Institute (API) also said on Tuesday that US petrol stocks fell by 1.6 million barrels.

According to the Ministry of Energy, demand for petrol in the US last week fell by 290 thousand bpd – to the minimum since June 12 – 8.29 million bpd.

The market is also concerned about the recovery of oil production in Libya. Production in the country has already reached 500 thousand bpd and by the end of October it will be 550-560 thousand bpd, The Libya Observer writes. It is expected that by the end of this year, Libya will produce 1 million barrels of oil per day.

As reported, OPEC+ executed a deal to cut oil production by 102% in September.

Tags: oil, USA, OPEC+, decline in production, oil reserves, crisis, economy

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