Brent Oil Dropped To $67 A Barrel

Brent oil dropped to $67 a barrel on August 19. Today in global markets, a barrel of Brent oil is priced at $67.08.

The barrel of Brent oil, which went up to $ 70.04 yesterday, closed the day at $ 68.23. The barrel of Brent oil, which recorded a decrease of 1.68% compared to the closing at 09:04 am today, is trading at $ 67.08. At the same time, West Texas Intermediate (WTI) crude oil was traded at $ 63.91 a barrel. The expectation that the increase in the number of coronavirus (Covid-19) cases worldwide will bring new measures and travel restrictions to the agenda and the rise in the US dollar put downward pressure on prices. According to data from the US Energy Information Administration, the country's gasoline inventories increased by 700 thousand barrels (0.3 percent) from the previous week to 228 million 200 thousand barrels last week. The increase in the weekly gasoline inventories of the USA created the perception of low demand and was another factor that put pressure on prices. On the other hand, commercial crude oil stocks in the country decreased by 3 million 200 thousand barrels (0.7 percent) last week to approximately 435 million 500 thousand barrels. The market expectation was that stocks would decrease by 1 million 259 thousand barrels. The drop in crude oil stocks, which is beyond the expectations, partially prevents the downward movement of prices. Concerns that oil production in the USA will increase in September, when the summer season with high travel activity will end, also suppresses prices. According to the EIA's forecasts, oil production in the US will rise to 8.1 million barrels per day in September, reaching the highest level since May 2020. In technical terms, it is stated that the range of $67.36 to $67.55 can be viewed as resistance and the range of $67.04 to $66.91 as support in Brent oil.