Oil is at its lowest level since January. the gas rises
Crude oil traded at a loss to its lowest level since January, as concerns about the demand for raw materials in China grow.
At the same time, the dollar is rising in price, which makes the purchase of “black gold” more expensive for buyers outside the US.
In London, North Sea Brent oil, which is a benchmark for European imports, continued to decline by 0.82% to $92.07 per barrel.
Already, West Texas Intermediate (WTI), the “reference” for the US, has lost 1.06% to $85.96 per barrel.
Oil is thus reversing gains made this Monday after the Organization of the Petroleum Exporting Countries and its allies (OPEC+) announced a 100,000 barrel per day cut in production starting in October.
In the gas market, futures are trading higher, with no reopening due to Nord Stream and while Norway’s upstream infrastructure is under maintenance.
Rush to gas storage, high flows of natural gas in Europe should keep prices up.
“The European energy sector continues to suffer from high volatility and uncertainty about winter energy supplies,” Rystad Energy analyst wrote in a note shared with Bloomberg.
“In the worst case scenario, with very cold, light winds and a 15% reduction in gas for electricity generation, this will prove to be a very difficult task for the European energy system and could lead to energy rationing and power outages,” they also report.
Monthly gas futures traded in Amsterdam (TTF) – a benchmark for the European market – rose 2.7%% to 246.4 euros per MWh.
