Washington (AWP/AFP) – Oil prices fell clearly on Thursday after Donald Trump invited Saudi Arabia and the organization of oil exporting countries (OPEC) to lower prices.
“I will ask Saudi Arabia and OPEC to lower the cost of oil,” said the American president during an online speech in front of an audience of big bosses during the Davos World Economic Forum , in Switzerland.
“I am frankly surprised that they did not do it before the election. Not doing it was not frankly proof of love,” Trump then said.
Black gold courses instantly reacted to the decline.
Slightly increased before the American president’s declaration, the price of the Brent of the Brent of the North Sea, for delivery in March, lost 0.90% to $ 78.29.
Its American equivalent, the barrel of West Texas Intermediate, for delivery the same month, fell 1.09% to $ 74.62.
“Donald Trump’s return to power puts operators on the alert (and) brings a lot of volatility,” comments with AFP Phil Flynn, from Price Futures Group.
To boost prices, the organization of petroleum exporting countries and its allies (OPEC+) has been organizing an offer of the offer in the end of 2022.
-The cartel currently has an unexploited production capacity of nearly six million barrels per day that the American president would like to see the market return in order to drastically lower energy prices.
Donald Trump hopes to fight inflation and increase the purchasing power of Americans.
However, notes Phil Flynn, the American president has repeatedly threatened to apply new sanctions to several countries including Iran and Russia, which could reduce the supply of crude and therefore reduce the possibilities of falling prices.
“Thus, even if the OPEC increases its production, (the United States) will probably need this oil because (they will) probably reduce the exports of Venezuela, Iran and potentially Russia, depending on The evolution of peace negotiations, “said Flynn.
Thursday, the American Energy Information Agency (EIA) published its figures on commercial stocks of crude oil, which contracted more than expected last week, which represents the ninth decrease in a row of reserves American.
During the week completed on January 17, these reserves decreased by 1 million barrels. American crude production was stable compared to the previous period, at 13.48 million barrels.
AFP/Rp
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