When the Asian market started trading on Wednesday (December 1), U.S. crude oil rose slightly. The API data released in the morning showed that the decline in inventories boosted oil prices. The current oil price is at $66.93 per barrel. On Tuesday, oil prices fell below the 70 mark, a drop of more than 4%, to 64.43 US dollars per barrel, the lowest level in two months.
Chief Executive Officer Modena questioned the effectiveness of the new crown vaccine against the new variant Omicron, which caused panic in the financial market and increased concerns about oil demand; and the Fed’s consideration of speeding up the process of “reducing” large-scale bond purchases has also increased some oil price pressures.
The White House hopes that OPEC and member states will decide to release oil supply to meet demand at this week’s meeting. He said that seeing the decline in crude oil prices and the lack of a corresponding drop in gasoline prices at gas stations is frustrating. Oil analysts said: “The threat to oil demand is real. Another wave of blockades may reduce oil demand by 3 million barrels per day in the first quarter of 2022. At present, the government places the importance of health and safety on restarting. Above the plan. From delaying the restart in Australia to banning foreign tourists from entering Japan, this is obvious evidence.
In general, the spread of the mutated virus Omicron in various countries and the negative news related to vaccines have increased people’s concerns. Iran’s nuclear negotiations are optimistic, and there has been a strong short position in oil prices; the oil price evening EIA data and OPEC meeting two Affected by important fundamentals, oil prices may be at risk of further declines.
Today’s crude oil price trend analysis: From a technical point of view, the daily crude oil price fell sharply in the afternoon. Although the oil price has entered the oversold range, the current trend is still very unfavorable for the bulls. Oil prices may set new lows for several months at any time, and market confidence is quite fragile.
Post time: Dec-03-2021