Russian Cap Weighs On Oil Prices| MENAFN.COM

Saturday, 03 December 2022 03:38 GMT

Russian Cap Weighs On Oil Prices


(MENAFN- Baystreet.ca) Russian Cap Weighs on Oil Prices

Oil prices fell Wednesday as the Group of Seven (G7) nations looked at a price cap on Russian oil above where the crude grade is currently trading.
Brent crude futures fell $3.14, or 3.6%, to $85.22 U.S. a barrel, while U.S. West Texas Intermediate (WTI) crude futures were down $3.13, or 3.9%, at $77.82 a barrel.
G7 nations are looking at a price cap on Russian seaborne oil in the range of $65-70/bbl, according to a European official on Wednesday.
Meanwhile, Urals crude delivered to northwest Europe is trading around $62-$63/bbl, although it is higher in the Mediterranean at around $68/bbl, according to Refinitiv data.
A senior U.S. Treasury official said on Tuesday that the price cap will probably be adjusted a few times a year.
The news added to demand concerns relating to top crude oil importer China, which has been grappling with a surge in Covid-19 cases, with Shanghai tightening rules late on Tuesday.
Also adding pressure was an OECD economic outlook that sees a deceleration in global economic expansion next year.
The price decline was limited by a fall in U.S. crude inventories, which were down by about 4.8 million barrels for the week ended Nov. 18, data from the American Petroleum Institute showed, according to market sources.

MENAFN23112022000212011056ID1105225723


Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.