Crude Oil Price: Light softening in prices, impact of increasing cases of cars in the world
On Monday, Brent crude fell 16 cents, or 0.3 percent, to $ 49.09 a barrel.
SINGAPORE: The price of crude oil softened on Monday. Due to increase in new cases of infection with the corona virus, many restrictions have been re-imposed in many parts of the world including Southern California. This has had an impact on the prices of crude oil.
Brent crude fell 16 cents, or 0.3 percent, to $ 49.09 a barrel. WTI futures fell 19 cents to $ 46.07 a barrel. Earlier, there was a rise in crude for five consecutive weeks. This brought Brent crude to near $ 50 a barrel.
Crude was also seen in the domestic market on Monday. Crude oil December futures were at Rs 3,404 per barrel on commodity exchange MCX.
ONDA Senior Market Analyst Edward Moya said, “The record cases of corona virus in Los Angeles County and the imposition of sanctions in South Africa have affected the prices of crude. If the restrictions to prevent corona in different parts of the world or Crude prices could be affected if a lockdown occurs. ”
Meanwhile, Iran has instructed its crude ministry to start preparing production with full capacity of crude oil within three months. Moya said, “Oil prices will be pressurized to increase production in Iran in three months. Iran hopes that the US will lift the ban on it if it re-complies with the 2015 nuclear deal.”