Oil prices decrease

By Azernews

By Rashid Shirinov

World oil prices moderately decreased on August 18, as oil production in Saudi Arabia trends to increase to a new record level.

The price for October futures of the North Sea Brent oil mix decreased by 0,32 percent to $49.69 per barrel, while the price decline of September futures of WTI made up 0,36 percent, coming down to $46.77 per barrel.

Reuters reported that Saudi Arabia can set a new record of oil production in August. The current record was established in July – 10.67 million barrels a day.

Meanwhile, market participants continue to assess the data of the U.S. Department of Energy about stocks of oil and fuel in the country. The Department has declared that commercial oil stocks in the U.S. (excluding strategic reserves) for the week, that ended on 12 August, unexpectedly fell by 2.5 million barrels (0.5 percent) to 521.1 million barrels.

The oil reserves at the country’s largest terminal Cushing fell by 0.8 million barrels to 64.5 million barrels. Gasoline stocks in the U.S. also dropped by 2.7 million barrels (1.2 percent) to 232.7 million barrels. Analysts had expected the index to fall to 1,638 million barrels.

In the meantime, oil production in the U.S. for the last week has risen by 1.79 percent or 152,000 barrels per day – up to 8,597 million barrels per day. Distillate stocks rose by 1.9 million barrels (1.3 percent) to 153.1 million barrels. Analysts predicted this figure to reduce by 0,742 million barrels.