The price of oil in September will remain low, perhaps even a slight decrease from current levels below $ 40 per barrel. In October, the downward trend is likely to be interrupted and a gradual growth will begin, which will accelerate in November and December, according to TASS experts.
“There will be no serious drop in oil prices in September – it is unlikely to fall closer to $ 35 per barrel. Now comes the review of almost all agencies with draft (oil prices) in September and renewal in October. In November, there will be a further growth trend, “said analyst Andriy Polishchuk. He also added that in the fourth quarter of 2020 the price of oil could rise to $ 47 per barrel.
Mariia Belova, Research Director at VYGON Consulting, sees no reason for further reduction of oil prices in the current conditions. On her opinion, under current conditions the equilibrium price of oil is in the range of $ 40-42 per barrel. Head of analytical department of the AMarkets, Artem Deev, added that by the end of 2020 the average oil price will range from $ 40 to $ 50 a barrel, but it will not exceed this level.
Dmytro Marynchenko, director of the natural resources and raw materials of Fitch agency, is less optimistic: he estimates that the price of oil will be higher than the current one, but on average in 2020 will be about $ 41 per barrel, and in the next will grow to $ 45, but subject to the general trend towards the opening of the world economy will continue.
Why oil fell below $ 40
The recent rise in oil prices was not supported by market conditions, the balance of supply and demand, therefore, the price of the oil fell below $ 40 per barrel.
“Its rise to $ 45 a barrel was not supported by fundamental factors, but rather a consequence of traders. Now, due to the end of the car season and agricultural trials, there is some increase in oil reserves, the beginning of autumn also increases the risk of a second wave of the pandemic, ” – says Belova from VYGON Consulting.
Another factor was the fear of the market before the second wave of restrictive measures through coronavirus. “Some countries and regions are once again stepping up quarantine measures, to curb the spread of the infection, although they remain much milder than in April-June, “said Marynchenko from Fitch.
The price was also negatively affected by Saudi Arabia’s decision to offer discounts on its oil. For example, for Asian buyers, it fell a record – by $ 1.4 per barrel.
Marinchenko noted that OPEC +, even in worst-case scenario, developments in the market will continue to manage the balance of supply and demand and, if necessary, make adjustments to the parameters of the current agreement to reduce production. “At the moment the sharp fall in prices is unlikely but possible that at some time they will remain in the corridor of $ 30-40,” – he said.
“Clearly, the current movement has been affected by data of increasing oil reserves in the US and a general concern, that the incidence of coronavirus has begun to rise again in the world. But the price has long remained at $ 45 per barrel, so it is difficult for it to go up immediately, it needs some start-up, ” – summed up the analyst of “Finama” Alexey Kalachev.
Latvian airline AirBaltic will resume flights to Ukraine on December 1 and will start a new flight Vilnius-Kiev to Boryspil airport. The schedule includes departures twice a week on Tuesdays and Saturdays on Airbus A220-300. Flights from Vilnius will depart at 09:00, from Kiev – at 11:15. “Vilnius Airport can be used for transit to […]
Last week, from November 16 to 22, more than 4 million people in the world became infected with the new type of coronavirus, which is a record number since the beginning of the pandemic. This was announced on Tuesday, November 24, the press service of the World Health Organization. According to the WHO, in these […]
If coronavirus vaccines become widely available and help restore international trade and economic growth, the dollar is likely to fall by 20% in 2021. Bloomberg reports that this forecast was made by Citigroup Bank. If the forecast comes true, it will be a record drop since 1985, when the DXY index fell by 18.5% over […]
During the first weekend of weekend quarantine, catering establishments lost 27% of turnover. This is as of Monday, November 16, according to the platform Opendatabot, citing data from Poster, a restaurant automation company. It is noted that during the week the turnover of cafes and restaurants fell by 10% compared to the previous week. In […]
Reuters reported, In Switzerland, the procedure of accelerated testing of Moderna vaccine has started. This will allow to approve the drug if it passes all clinical trials. “Swissmedic can get an initial idea of the benefits and risks of vaccine candidates before the study is completed. This speeds up the review process and at the […]
World oil prices of reference brands continue to rise on the news of the victory of the Democratic candidate Joe Biden in the US presidential election and information on the success of tests of the vaccine from COVID-19 of the American company Pfizer Inc. and German BioNTech. This is evidenced by trading data on Wednesday, […]
The World Health Organization expects that by the spring of 2021, the situation in the fight against the coronavirus pandemic could change significantly. The main hope is the invention of vaccine against the disease. This was stated by Adviser to the Director-General of the WHO Bruce Aylward. He noted that by March the situation could […]
In the background of the general election in the United States world oil prices jumped.This is evidenced by trading data as of Monday morning, November 9. And what about the election, according to preliminary data in the presidential race the Democrat Joseph Biden wins. Thus, the price of January futures for Brent oil on the […]
LLC Dan-Pharm Ukraine expects to put into operation pig factory farm on feeding of 25 thousand hogs in Korostensky district in the Zhytomyr region. On Tuesday, Vadim Shestakov,the First Deputy CEO of the company told journalists during the AgrarianOlympus of 2016 international congress : “We began to build it in 2014 and we have been […]Next
The manufacturer of on-board cable systems is ready to increase the number of workers from 900 to 5000 people. A foreign investor, a manufacturer of cable networks for automobiles – Kromberg and Schubert has invested in the production of automotive components plant in Zhitomir € 10 million, and it plans to double its investment and […]Next
The Council of the European Union approved funding in the amount of 87.4 billion euro for the Member States in the form of the loans under the SURE – temporary EU instruments to reduce the risk of unemployment during the pandemic coronavirus COVID-19. This support should help for the Member States to finance sharp increase […]Next
2017 was marked by many interesting and significant events for Switzerland. They relate to science, culture, and the social life of the country, and have become important and notable for both Switzerland and for Ukraine. 1. We celebrate the 25th anniversary of the establishment of Ukraine-Switzerland diplomatic relations in 2017. Both sides undoubtedly appreciate well-established […]Next
Amazon is beginning the expansion in the fitness tracker market with the release of its first Halo fitness tracker and fitness app. The offer from Amazon will compete with the existing world leader in the device market – Apple’s smart watch – Apple Watch, with a fitness tracker and a smart watch from Fitbit, which […]Next
Net profit of the American company Intel, one of the world’s largest manufacturers of computer components, in the first nine months of 2020, which ended on September 26, rose from 6.3% to $ 15.042 billion, according to the company press release. Adjusted earnings per share for the reporting period were $ 3.52 against $ 3.14 […]Next
British airline Virgin Atlantic Airways, which has assets and leading business, including in the United States, 49% of which belongs to the American Delta Airlines, filed a claim for bankruptcy protection in the Southern District of New York. Chapter 15 of the US Bankruptcy Code: “Law on Prevention of Abuse in Bankruptcy and Consumer Protection” […]Next
Two of the biggest telecom operator in France, recently reported about their intentions to merge. The amount of the transaction and its details were not disclosed at the moment. This is not the first attempt to conclude an agreement on the merger, talks between the parties were conducted in the past year, but companies could […]Next
The Kyiv Court of Appeal denied to Russia’s Vnesheconombank (VEB) in recognition of the decision of the arbitrator of the Arbitration Institute of the Stockholm Chamber of Commerce, which, at the request of VEB, the Ministry of Justice of Ukraine was obliged to stop the forced sale of 99.77% of Prominvestbank shares. The court agreed […]Next
The number of confirmed COVID-19 cases in the United States continues to rise, but disease mortality rate is declining. This was announced on Sunday, July 6, by US President Donald Trump in his Twitter. “New China Virus Cases up (because of massive testing), deaths are down, “low and steady”. The Fake News Media should report […]Next
Antimonopoly Committee of Ukraine allowed the company Uniline finance to gain control of six agricultural companies in Dnipropetrivsk and Zaporizhzha regions. Based on the received permission, the company Uniline finance Ltd. (British Virgin Islands) is going to acquire more than 50% of the shares of Astev Investment Company (Cyprus). According to the AMCU, the online […]Next
December 23, 2015, the representatives of the largest streaming service in the USA Pandora Media reported that the company absorbed the music service Rdio, which become bankrupt, for $ 75 million. The deal was approved by the judge on the bankruptcy. There were no competing bids for the purchase of service. Pandora now becomes the […]Next
Marriott is buying Starwood to make the largest hotel company in the world. Together, the companies will operate or franchise 5,500 hotels with a total of 1.1 million rooms. The company will span 100 countries. Marriott International (MAR) and Starwood Hotels & Resorts Worldwide (HOT) announced the $12.2 billion deal on Monday. Starwood brands include W Hotels, St. Regis, Westin and […]Next
The largest producer of sugar in Ukraine, the “Astarta” agricultural holding launched the project on drip irrigation in the Poltava region. The cost of the project is 10 million UAH. “Irrigation technology will be applied to the crops of sugar beet: first, 360 ha, and according to the results of the project in this year, […]Next
Automaker General Motors has introduced the Buick Electra Concept. The electric car is designed for four people and has a minimalist design. The car can travel more than 660 km without recharging. It takes 4.3 seconds to accelerate to 100 km / h. The total power of the two engines reaches to 583 horsepower. It […]Next
Recently resolved a long legal battle between the two eternal rivals -Samsung Electronics Co. and Apple Inc. December 4, 2015 in the US District Court in San Jose, California, Samsung representatives said that they will pay Apple compensation in the amount of $548 million in the case of patent rights. This amount today suits both […]Next