WTI crude oil futures fell negative today. After Saudi Arabia signaled it was ready to cut production to meet market challenges.
As of 00.01 a.m. Thai time, the West Texas Intermediate (WTI) crude oil contract was delivered in September. It traded on the NYMEX minus $0.35, or 0.39%, to $90.42/barrel. Brent crude oil dropped $0.37, or 0.38%, to $96.35 a barrel.
Saudi Energy Minister Prince Abdulaziz bin Salman said the Organization of the Petroleum Exporting Countries (OPEC) and its allies. or OPEC Plus Commitment, flexibility, and approach to challenges This includes cutting oil production at any time. and in different ways
In addition, Prince Abdulaziz said: OPEC and its allies will establish a new agreement from 2022 that will be built on experience. and success in the past
WTI oil prices fell near $87 initially. Meanwhile, Brent crude oil dropped $93 amid worries regarding a recession. which will affect the demand for oil
Oil prices were also affected by the dollar’s appreciation. This will reduce the attractiveness of oil contracts. by making contracts more expensive for holders of other currencies.
Investors are worried that The US Federal Reserve (Fed) may raise interest rates by 0.75% for the third time at its September meeting. This might cause the US economy to face a recession.
The US Commerce Department said the US economy contracted 0.9% in the second quarter following contracting 1.6% in the first quarter. put the US into a technical recession.
Oil prices have also been pressured by progress in the Iran nuclear deal negotiations. This might pave the way for Iran to return to world oil exports.
The European Union’s (EU) foreign policy chief, Joseph Borrell, said the EU had received a response from Iran regarding the EU’s proposal to resume the 2015 nuclear deal. rational”
“I see that Iran’s answer makes sense. And I have sent this answer to the US. which has not been formally responded to,” Borrell said.
The United States had previously said it was ready to reach an agreement with Iran as quickly as the EU’s proposal.
Talks between Iran and the world powers began in April 2021. in Vienna but has been suspended in March 2022 Amid the conflict between the United States and Iran But talks between the two sides resumed earlier this month in Vienna. If Iran and the West can reach an agreement It will pave the way for Iran to return to export oil in the market.
