Crude oil price decreased by $10 a barrel in less than 10 days in International market
The global benchmark, Brent crude futures, has fallen by approximately $10 per barrel in less than ten days.
Oil prices experienced a decline of 2% on Thursday, October 5th, following a nearly 6% drop in the previous session. This decline was driven by growing uncertainty surrounding the demand for oil, which overshadowed a decision by OPEC to maintain oil output cuts, thus keeping the supply tight.
On Wednesday, oil prices plummeted by more than $5, marking the most significant daily drop in over a year. This drop persisted even after a ministerial panel meeting of the Organisation of the Petroleum Exporting Countries and its allies, known as OPEC+.
The global benchmark, Brent crude futures, has fallen by approximately $10 per barrel in less than ten days. This sharp decline comes after Brent crude had approached the $100 mark in late September. The past two days witnessed the steepest percentage drop for both crude benchmarks since May.
Specifically, Brent futures fell by $1.62, equivalent to a 1.9% decrease, settling at $84.19. Meanwhile, US West Texas Intermediate crude futures experienced a decrease of $1.55, or 1.8%, landing at $82.73, according to reports from Reuters.
In a significant development, OPEC decided not to make any changes to the group’s oil output policy. Saudi Arabia also announced its intention to maintain a voluntary cut of 1 million barrels per day (bpd) until the end of 2023, while Russia committed to a 300,000 bpd voluntary export curb until the end of December. Earlier this week, India’s Oil Minister, Hardeep Puri, expressed the view that oil prices need to fall to around $80 a barrel to benefit the economy. India, the world’s third-largest oil consumer, has consistently conveyed to oil-producing nations that crude prices are too high.
Ms Kalinga