The barrel price of Brent oil, which completed the day at 109.49 dollars yesterday, became 104.28 dollars with a decrease of 4.75 percent compared to the closing as of 15.20 today. At the same time, a barrel of West Texas type crude oil found buyers at $100.86.
Russia: We decided to reduce military actions in the Kyiv and Chernihiv directions
Russia-Ukraine negotiation delegations met in Istanbul
The news flow that the meeting of the negotiating delegations of Russia and Ukraine in Istanbul was "constructive" was effective in the decrease in prices.
Russian Deputy Defense Minister Aleksandr Fomin, who participated in their meeting, announced that they decided to reduce their military actions in the Kyiv and Chernihiv directions. This positive development in the Russia-Ukraine talks supported the downward movement of prices.
Concerns that demand will fall in the country, which is one of the world's largest oil consumers, with the government's implementation of the shutdown measure in the face of increasing Kovid-19 cases in China, was another factor that put pressure on prices.
In Shanghai, China's largest city, it was decided to apply a five-day quarantine in two stages. Expectations that the closure measures will be extended to other regions are pushing prices further.
Markets focus on OPEC meeting
On the other hand, markets focused on the 27th Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC Ministerial Meeting to be held on Thursday.
It is foreseen that the OPEC+ group will not be able to react quickly despite the contraction in supply and will continue its current production policy.
Despite calls from major consumer countries to pump more crude oil into the global market to close the oil gap and lower prices, the group is not responding to them.
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