The price of Brent oil reached 86 dollars and 41 cents
Oil prices fell on Friday as investors weighed weak demand for the fuel, Reuters reported. are in America and the possibility of lowering the interest rate of the central bank of this country has increased this year.
The price of a barrel of Brent North Sea oil today increased by 2 cents equal to 0.02% to 86 dollars and 41 The tradition arrived. Texas Intermediate oil West also decreased by 20 cents equivalent to 0.24 to $81 and 54 The cent is traded. Brent oil has increased in price by 0.02% over the past week and American oil has decreased in price by 0.2%. The price of both of these oil indices has increased by about 6% in the last month.
According to the monthly report of the US Energy Information Administration, while oil production and demand for it in this country reached the highest figure in the last four months in April, but the demand for gasoline increased by 8 It fell by 83 million barrels per day, the lowest figure since February.
Individual consumption expenditure index in the United States, which is the Federal Reserve’s favorite indicator for setting interest rates, did not change in May, which increases hopes for a September interest rate cut.
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Traders are now 64% likely to see the first interest rate cut in September. This figure was equal to 50 percent last month.
Decreasing interest rates will increase demand from consumers and will benefit oil.
Analysts of Barclays expect the price of Brent oil to remain around 90 dollars per barrel in the coming months.
According to a Reuters poll, concerns about demand in China and the prospect of high output from the world’s major producers will not change oil prices much in the second half of this year. The average price of Brent crude oil in 2024 is expected to be around $83.93 per barrel and US oil $79.72 per barrel.
The number of active oil wells in the US, which is the first sign of the country’s future production, decreased by 6 rings and reached 479, which is the lowest number since December 2021.
