April 2, there are strong fluctuations in the price of Brent crude oil, by the end of the day a barrel costs about $ 30. April 1 on the London Stock Exchange, this figure did not exceed $ 23.
The cost of a barrel of Brent crude oil rose significantly during the day and reached $ 35.99, this is evidenced by the results of the auction, which is published in real time by ru.investing.com.
By 19.00 in Kiev, the price of the nearest futures fell to $ 30.45 per barrel.
April 1, trading on the London Stock Exchange stopped at around $ 22.76. The upward trend in prices has been observed since March 31.
Fluctuations in the oil market amid expectations that Russia and Saudi Arabia will reduce production. US President Donald Trump April 2 wrote on Twitter that he had a telephone conversation with Saudi Crown Prince Mohammed Ibn Salman. According to the head of the White House, the total reduction in production can reach up to 15 million barrels per day.
….. Could be as high as 15 Million Barrels. Good (GREAT) news for everyone!
– Donald J. Trump (@realDonaldTrump) April 2, 2020
The fall in oil prices has continued since early March. The main reason was that Russia and the Organization of Petroleum Exporting Countries could not agree on new restrictions on the level of oil production. By March 9, the price of Brent oil fell by 30% to $ 33 per barrel, which was the maximum daily drop since 1991, when the Gulf War began. On the evening of March 18, Brent crude fell to a 17-year low of $ 25.4 per barrel, and March 30 futures traded at $ 18.
According to Bloomberg sources, Saudi Arabia decided to “enter into a total price war” and increase production from 9 million to 12 million barrels per day. In addition, Riyadh is trying to oust Russian Urals brand oil from the European market.