Volatility in oil prices continues

A barrel of Brent oil is trading at $90.35 in international markets.

The price of a barrel of Brent oil, which closed at $90.65 on Friday, fell 0.33 percent to $90.35 at 10:01 today. At the same time, West Texas Intermediate (WTI) crude oil sold at $87.06 a barrel.

Prices fell due to for-profit buying in the market, uncertainty about interest rates in the US and concerns that demand in the country would weaken.

PARTIAL DECREASE FOLLOWING LAST WEEK’S INCREASE

Oil prices, which hit their highest level of the year last week, showed a partial decline this week ahead of inflation data from the US, the world’s largest oil-consuming country.

Markets are pricing in concerns that high inflation will cause a slowdown in the US economy and negatively affect crude oil demand.

Fuel demand in the United States is also expected to decline in the coming months as the summer travel season ends.

THE LOSS OF VALUE OF THE DOLLAR LIMITS THE FALL

Additionally, monthly oil market reports from the Organization of the Petroleum Exporting Countries and the International Energy Agency will be released this week.

Experts will closely monitor forecasts that will contain future clues on global supply and demand.

On the other hand, the depreciation of the US dollar against other currencies limits the fall in oil prices.

The dollar index has risen for eight consecutive weeks, hitting a six-month high. The US dollar index decreased by 0.50 percent compared to Friday’s close, reaching 104.187. The weaker dollar is expected to make oil cheaper for other countries, boosting demand.

It is stated that technically the range between $90.96 and $91.09 for Brent oil can be considered as resistance, and the range between $90.32 and $90.13 as support zone. (AA)