American crude extends its dive, suppressed by greenback

On Tuesday, crude descended for a second day because soaring American output along with a strengthening greenback affected demand for oil, bringing Brent below $70 a barrel.

Brent crude futures lost 0.5% being worth $69.13 a barrel. On Monday, March delivery contract slumped 1.5% hitting $69.46 a barrel.

American West Texas Intermediate crude futures sank 0.7% reaching $65.09 a barrel. By the way, on Monday, the futures dived 0.9% trading at $65.56.

American crude output happens to be already on par with Saudi Arabia, which is the number one crude producer within OPEC. However, Russia manages to produce more, boasting an output of 10.98 m. barrels a day last year.

American output has soared more than 17% since mid-2016. It’s believed to surpass 10 million bpd in the nearer future.

Drillers in America added up to 12 crude rigs for new output to January 26. That’s what Baker Hughes informed on Friday.

Similar

08.03.2022 21:17 Russian Oil Got Banned from Market

This week started with the talk of the United States banning Russian oil exports, so XBR/USD saw $130 a barrel. Then the ban became reality. What does it really mean for the market?

08.02.2022 09:40 First Oil Release After OPEC Meeting

US Energy Information Administration will reveal Crude oil inventories on February 9, 17:30 GMT+2.

01.02.2022 09:26 Will oil change the trend after OPEC-JMMC meetings?

On Wednesday, February 2, during the day, members of the Organization of Petroleum Exporting Countries (OPEC) and Joint Ministerial Monitoring Committee (JMMC) will discuss a range of issues regarding energy markets and, most importantly, agree on how much oil they will produce.