As known from:
CoinWireICOBenchCoinCodex
Write a Review
Write a Review
Nothing Found
Contains commercial content
TradersBest.com / Oil Prices Tumble 10% Then Recover

Oil Prices Tumble 10% Then Recover

Publish Date: 06/07/2022

This week saw oil prices plummeting over 10% to slip under the $100 mark. It comes at a time where there is real fear of recession hitting the US and other countries around the world. However, early Wednesday saw the price of oil rising 3% as concerns remained about supply. 

It was on Tuesday that the price of Brent crude took a hit of nearly 9.5% to reach $102.8 per barrel, while the price of West Texas Intermediate crude fell over 10% to hit $97.43 per barrel. This marks the first time that West Texas Intermediate has traded under the $100 mark since the middle of May.

Ally Invest
4.7/5
Ally Invest Review
T&Cs apply, 18+
Visit Site
Webull
4.7/5
Webull Review
T&Cs apply, 18+
Visit Site
M1 Finance
4.6/5
M1 Finance Review
T&Cs apply, 18+
Visit Site

Why is the price of oil falling?

Analysts have suggested that there has been a reduction in the demand for diesel and gasoline across oil markets that is being linked to fear of an impending recession. While the price of oil has been rising for six months in a row, the fact that it has started to slip has meant that analysts on Wall Street are now expecting that the price of Brent crude could run as low as $65 by the end of 2022.

The US has been battling with rising unemployment levels against soaring costs for households and businesses, and the fears of recession are starting to look justified. All of which has made those recent predictions that oil could reach $140 per barrel look a little far-fetched.

Will the price of oil continue to fall?

Analysts are expecting the price of oil to stay relatively high despite the recent market fluctuation. Previous recessions have shown continued demand for commodities like oil and Wednesday saw the price of oil rebound 3%. This comes at a time when the dollar soared to a 20-year high against the euro and a stronger dollar tends to make oil more expensive, therefore limiting demand.

All of this is set against a confusing picture such as recent threats by Russia to limit the quantity of oil on the market that is contrasted against Norway recently ending a strike in the petroleum sector that could increase supply.

The soaring price of oil has been one of the defining features of 2022 so far, and it has reached its highest levels since 2008. The rise in oil prices came at a time when there was a newfound demand for oil as economies recovered from the effects of the pandemic, and ongoing supply chain problems pushed up the prices even further. Plus, with the ongoing Russian invasion of Ukraine, there have been real concerns about shortages, given the EU’s dependence on Russian oil.

This caused the price of West Texas Intermediate crude to peak at a staggering $130.50 per barrel  this March. The price of Brent crude was even higher and it nearly broke through the $140 mark. Plus with high commodity prices pushing inflation to its highest rates in 40 years, it’s left the economy in a grim state.

Our favorite brokers for stocks trading

Ally Invest
1.
Favicon
4.7/5
Visit Site
T&Cs apply, 18+
Webull
2.
Favicon
4.7/5
Visit Site
T&Cs apply, 18+
M1 Finance
3.
Favicon
4.6/5
Visit Site
T&Cs apply, 18+
Firstrade
4.
Favicon
4.5/5
Visit Site
T&Cs apply, 18+
Kraken
5.
Favicon
4.3/5
Visit Site
T&Cs apply, 18+
Read Also
Oil Prices Fall Amid Recession Fears
Thursday saw the price of oil falling over 2% as analysts weighed ...
Oil Feared to Rise to $125 per Barrel
The ongoing crisis in Ukraine caused the price of oil to soar ...
Global Markets Tank as Russia Invades Ukraine
Markets around the world have slumped following Russia’s full-scale invasion of Ukraine. ...
Oil Prices Soar, Cryptos Fall Following Russia-Ukraine Escalation
It’s been a jittery day on the markets due to escalating tensions ...
Oil Price Rise Expected to Peak Soon
The price of oil has skyrocketed to a seven-year high as a ...
Latest News
Study: how do finances shape our love life?
Do we find someone less attractive if they're ...
Is FTX Bankrupt? 
The crypto market has seen a drastic change ...
Disney Shares Jump 6% After Positive Earnings Report
A booming subscriber base and the return of ...
Alibaba Posts Flat Revenue Growth But Stock Still Jumps 6%
Chinese ecommerce giant Alibaba posted its first earnings ...
Intel Stock Slumps Over 8% Following Weak Earnings Report
Chip-maker Intel suffered a disastrous end to last ...
Top Forex Sites
Ally Invest
Ally Invest
Ally Invest Review
4.8/5
Webull
Webull
Webull Review
4.6/5
Kraken
Kraken
Kraken Review
4.3/5
Nadex
Nadex Review
3.6/5
Interactive Brokers
Interactive Brokers Review
4.8/5
Receive the latest trading news by email + our free eBook
Crypto eBook EN
Nobody is born a trading expert. Register now to receive the Ultimate Guide to Trading Cryptocurrencies in 2022 (and beyond), and receive the TradersBest.com newsletter with the latest market news and broker reviews!.

By registering, I agree that TradersBest.com may send me newsletters via email at regular intervals. This consent can be revoked at any time.
Receive the latest trading news by email + our free eBook
Nobody is born a trading expert. Register now to receive the Ultimate Guide to Trading Cryptocurrencies in 2022 (and beyond), and receive the TradersBest.com newsletter with the latest market news and broker reviews!.

By registering, I agree that TradersBest.com may send me newsletters via email at regular intervals. This consent can be revoked at any time.
Trading financial products carries a high risk to your capital, especially trading leverage products such as CFDs.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Players must be 21 years of age or older or reach the minimum age for gambling in their respective state and located in jurisdictions where online gambling is legal. Please play responsibly. Bet with your head, not over it. If you or someone you know has a gambling problem, and wants help, call or visit: (a) the Council on Compulsive Gambling of New Jersey at 1-800-Gambler or www.800gambler.org; or (b) Gamblers Anonymous at 855-2-CALL-GA or www.gamblersanonymous.org.

Trading financial products carries a high risk to your capital, especially trading leverage products such as CFDs. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

This site is using Cloudflare and adheres to the Google Safe Browsing Program. We adapted Google's Privacy Guidelines to keep your data safe at all times.

21+NCPG
Close
×
Your Promo Code:
The bonus offer of was already opened in an additional window. If not, you can open it also by clicking the following link:
Visit Site