WTI drops below $ 7

US, WASHINGTON (ORDO NEWS) — June WTI oil futures fell below $ 7 per barrel. This is evidenced by trading data on April 21.

The price per barrel of US oil fell to $ 6.5.

Futures for Brent crude for June delivery fell below $ 18 per barrel for the first time since December 2001 to 17.75. The decrease was almost 30%.

Earlier on the same day, it became known that a number of OPEC + ministers who signed an agreement to reduce oil production held an informal teleconference to discuss the “current dramatic market situation” of the industry.

The OPEC + countries agreed on April 12 to reduce oil production by 9.7 million barrels per day in May-June, by 7.7 million in the second half of the year and by 5.8 million further until the end of April 2022. October 2018 is considered the reference base, but for Russia and Saudi Arabia, 11 million barrels per day were taken, from which, by analogy with all, there is a decrease of 23%, 18% and 14%, respectively.

However, on April 20, oil prices began to fall amid fears of a further reduction in demand and the early filling of oil storage facilities. Thus, the cost of North American WTI oil for May delivery fell to negative values. The price of May futures for WTI crude oil by the end of trading on the New York Mercantile Exchange (NYMEX) collapsed by almost 300%, to minus $ 37.63 per barrel. Quotations fell to negative values ​​for the first time in history.

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