- WTI futures fall further and are approaching $ 37.
- Uncertainty and blockades in the US elections affected oil prices.
- US Oil Rig Count Rises for Eighth Straight Week – Baker Hughes.
WTI futures for the first month They are still trading lower after retreating from week highs at $ 39.33 to hit levels above $ 37. Market concerns about the impact of coronavirus restrictions and the uncertainty of the US elections are driving prices down.
Crude prices fall after a three-day recovery
Oil prices have fallen for the second day in a row due to uncertainty about the outcome of the US presidential election with candidates in a tight race to win some key states.
Beyond that, the rapid spread of the COVID-19 pandemic in Europe with Germany, France and England introducing the second wave of lockdowns and the United States reaching record levels of infections in the past two days, have raised concerns about a negative impact on demand.
Additionally, Baker Hughes’ weekly report has provided no relief from concerns about oversupply. According to the latest data, US power producers increased the number of active oil and gas drilling for eight consecutive weeks. Oil rigs, an indicator of future supply rose to a total count of 226 in the US in the week of October 30, which is its highest level since May.
The positive news comes from OPEC +. The Organization of the Petroleum Exporting Countries and allies such as Russia appear to be closer to agreeing to extending current production cuts beyond January to avoid a further drop in prices.
Credits: Forex Street
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
