West Texas Intermediate (WTI) oil prices fall on Wednesday, early in the European session. The WTI traded at $ 59.37 per barrel, down from the near Tuesday to $ 59.91.
Brent oil exchange rate (Brent Crude) also pours soil, trading at $ 62.49 after the previous day -to -day close to $ 62.98.
Wti oil faqs
WTI oil is a type of crude oil for sale in international markets. WTI stands for West Texas intermediate, one of three main types including Brent and Dubai crude. WTI is also referred to as “light” and “sweet” due to relatively low gravity and sulfur content respectively. It is considered a high -quality refined oil. It is sourced in the United States and distributed by the cushing hub, which is considered “the pipeline crossroads of the world”. It is a benchmark for the oil market and the price of WTI is often quoted in the media.
Like all owners, supply and demand are the major WTI oil price drivers drivers. As such, global growth can be a driver of increasing demand and vice versa for vulnerable global growth. Political, war, and penalties can interfere with supply and impact prices. OPEC decisions, a group of major oil -producing countries, are another major price driver. The cost of the US dollar influences the price of crude oil in the WTI, as the oil is predominantly exchanged with the US dollar, thus a weaker US dollar can make the oil and vice versa.
The weekly oil inventory report published by the American Petroleum Institute (API) and the Energy Information Agency (EIA) affect WTI oil prices. Changes in inventory reflect on changing supply and demand. If the data shows a collapse in the inventory it may indicate an increase in demand, pushing the oil price. Higher inventures may reflect the increase in supply, pushing prices. The API report has been published every Tuesday and the EIA day. Their results are usually similar, falling within 1% of each to 75% of the time. EIA data is considered more reliable, as it is a government agency.
The OPEC (Organization of the Petroleum Exporting Country) is a group of 12 oil-producing oils that work together to decide on production quotas for members of the country twice the annual meeting. Their decisions often affect WTI oil prices. When OPEC decides to lower the quotas, it can tighten the supply, pushing oil prices. When OPEC increases production, it has the opposite effect. OPEC+ refers to an expanded group with ten extra non-OPEC members, the most prominent of which is Russia.
