Barrel Price of Brent Oil Continues Decline

Barrel Price of Brent oil continues to decline. Today, a barrel of Brent oil traded at $ 55.47 in global markets.

The barrel of Brent oil, which reached the level of $ 56.23 on Thursday, closed the day at the level of 56.10 dollars. The barrel of Brent oil, which decreased by 1.12 percent compared to the closing at 09:44 am today, traded at $ 55.47. At the same time, the barrel of West Texas type (WTI) crude oil traded at $ 52.47. The increase in new types of coronavirus (Covid-19) cases in Asian countries, especially China, the world's most oil importer, brought new measures to the agenda. Consequently, concerns that the demand for oil would remain weak caused the oil prices to decline. In addition, the strengthening of the expectations for the 1.9 trillion dollar stimulus package announced by Joe Biden in the USA prevented the prices from falling further. New US President Joe Biden stated that he will do his best to get the package approved as soon as possible, and at a press conference, Speaker of the House of Representatives Nancy Pelosi said that the new economic support package is planned to be put to the vote in early February. Bjornar Tonhaugen, Director of Petroleum Market Research, Norway-based independent research organization Rystad Energy, noted that investors are following the developments in China closely and things are not going the way the market wants. Pointing out that the holiday season in China is approaching and that there will be new restrictions this season, which will cause a decrease in demand. Tonahaugen said: “China is a very important market for oil, the country that is helping oil demand grow more than other countries, and a slowdown here always means a decline for prices.” In technical terms, it is stated that the range of $ 55.86 and $ 56.62 can be followed as the resistance zone and the range of $ 55.10 and 54.34 as the support zone in Brent oil.