During trading on London’s ICE exchange, the price of May Brent oil futures fell below $75 a barrel. As of 5:00 p.m. Moscow time, Brent was trading at $74.82 a barrel. Since markets opened, quotes have fallen 3.4% (minus $2.63).
Near the $75 mark, the North Sea oil mix traded the previous time on December 23, 2021.
US-grade WTI oil is also becoming cheaper. As of 5:00 p.m. Moscow time, it was $68.8 a barrel, down $2.5 (3.5%) from the close of trading on March 14.
According to stock market analysts quoted by Interfax, oil prices reacted to fears of a recession in the United States, as evidenced by the failure of several American credit institutions, the most important of which is Bank of Silicon Valley. “Furthermore, energy traders are drawing clear parallels to previous recessions that began in the banking sector, particularly the 2008 financial crisis,” said Steven Innes, managing director of SPI Asset Management. In addition, according to analysts, the market is waiting for the release of data on the increase in oil reserves in the United States.