Trade War: Crude oil (crude oil) is constantly being broken in the international market amid the possibility of a trade war deepening between the two largest economies like America and China. Due to the possibility of Trade War, the price of crude oil in the international market has declined for the fifth consecutive day today.
In today’s business, Brent crude fell below $ 60 level to $ 58.39 per barrel.
Similarly, US West Texas Intermediate (WTI) fell to $ 55.13 per barrel level. With this decline, crude oil has reached the lowest level of more than 4 years.
Talking about the Future Market, Brent Futures are currently seen by 4.06 percent to $ 60.27 per barrel. Similarly, US West Texas Intermediate (WTI) crude futures remain at $ 56.90 per barrel with a weakness of 4.50 percent. This is the biggest decline after March 2021 in Brent crude. Similarly, this is the lowest level after February 2021 in WTI crude.
Experts say that the way the conflict situation has arisen between the US and China over tariffs, the risk of economic recession has started increasing. Rajeev Dutta, CEO of Capex Gold and Investment, says that if the round of trade war continued for a long time, it could decline in demand for crude oil. If this happens, the pressure on its price in the international market may increase even more.
The biggest thing is that OPEC Plus, an organization of oil producing countries, has decided to increase the crude oil production on a daily basis in the month of May. This decision taken by OPEC Plus only last week has increased pressure on the price of crude oil in the international market, as this can cause oil surplus conditions in the market.
In such a situation, if the condition of the trade war also persists for a long time, Brent crude can soon reach the level of $ 55 per barrel and WTI Crude 51 per barrel.
