Brent crude oil below $70!

A barrel of Brent crude oil is trading at $69.94 in international markets.

After rising to $72.28 yesterday and closing the day at $69.19, the price per barrel of Brent crude oil increased by 1.08 percent compared to the closing price as of 08:56, reaching $69.94. At the same time, a barrel of West Texas Intermediate (WTI) crude oil was finding buyers at $66.44.

The price per barrel of Brent crude oil continues to hover below $70. Brent crude, which fell below $70 yesterday, saw its lowest level in approximately 3 years. The price per barrel of West Texas Intermediate (WTI) crude oil fell to $66, its lowest level since May 2023.

The significant drop in prices was driven by the Organization of the Petroleum Exporting Countries (OPEC) lowering its demand expectations for this year and next year. In its report published yesterday, OPEC estimated that there would be a slowdown in global oil demand growth compared to its previous report. OPEC lowered its demand growth forecast for this year by 80 thousand barrels per day and for 2025 by 40 thousand barrels per day.

Oil prices began to partially recover from the losses of the previous session early today. Concerns that oil production will be disrupted due to a severe storm in the US, the world's largest oil-consuming country, are contributing to the partial rise in prices. In a statement from the US National Hurricane Center, it was reported that the storm that began in the Gulf of Mexico on Monday turned into a "category 1 hurricane" last night and could affect some US states today.

Concerns about potential disruptions in oil and natural gas production are supporting prices upward. In a statement made yesterday by the US Bureau of Safety and Environmental Enforcement (BSEE), it was reported that approximately 24 percent of crude oil production and 26 percent of natural gas production in the US Gulf of Mexico were offline due to the storm.

It is noted that for Brent crude, the $71.42 to $73.65 range can be monitored as resistance, while the $67.82 to $64.22 range can be monitored as the support zone.

News Source: AA