AA / Ankara / Ebru Sengul Cevrioglu
Oil prices fell in Tuesday’s trade amid a US decision to draw on strategic petroleum reserves (SPRs) in the United States, which eased concerns regarding market supplies.
International benchmark Brent oil traded at $86.31 a barrel at 09:46 a.m. local time (0646 GMT), down 0.3% from yesterday’s closing price, pegged at $86.61 a barrel.
US benchmark West Texas Intermediate (WTI) barrel traded at $79.50 a barrel, down 0.8%, in yesterday’s closing trade at 80.14 dollars per barrel.
Oil prices fell following US President Joe Biden announced on Monday a plan to tap into US crude reserves.
The plan foresees the sale of 26 million barrels, which should be delivered between April 1 and June 30, according to international media.
The move came as U.S. strategic reserves, the world’s largest supply of emergency crude oil, had plummeted to their lowest level since 1983.
Global markets, meanwhile, continue to watch macro data, especially the US Consumer Price Index (CPI) and statements from US Federal Reserve (Fed) leaders.
A higher-than-expected CPI reading would bolster expectations of a bigger Fed interest rate hike, further fueling fears of a possible recession and reduced oil demand.
* Translated from English by Mounir Bennour.
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