Oil prices have no way to determine further movement. On Tuesday, the message from OPEC was pushing quotes upward, however, data from the American petroleum Institute changed the mood of the players, and today oil is getting cheaper.
As of 7:40 Moscow time futures on Brent blend is reduced by about 0,5% and traded at $41,34, futures on WTI is also down by 0.5% and traded at $40,92.
Now to data from the American petroleum Institute (API). Oil reserves in the States rose for the sixth week in a row, and this time immediately 8.79 million barrels – the second largest increase this year.
But in Cushing stocks slightly declined by 1.37 million barrels. Also saw a decline in gasoline stocks and distillates: 4.3 million and 391 thousand barrels, respectively.
Immediately after the publication of statistics quotes went down. However, yet the fact that by the evening the situation will not change, as the Western press quite actively fills the news reports of the decisions of oil-producing countries.
For example, on the eve of the Financial Times published an article about the readiness of Saudi Arabia to freeze the production even in case of refusal of Iran.
“Many countries are ready to freeze the prey. Why put the agreement in reliance on Iran?”
Earlier, the Gulf countries refused to sign the agreement about the freezing, if Iran continues to increase its production. In General, judging by the titles, while down playing no one is going, although it cannot be excluded that all will change very quickly.
Actually, all this talk means nothing, the market has long laid all pictures and now will wait for total meetings, but do not forget about trading robots that can not sit still and actively react to any headlines.
For example, Tuesday was a time when oil prices declined, after which he reported that Algeria has confirmed its participation in the meeting in Doha on April 17, Nigeria has also expressed willingness to attend, but Libya refused. However, any title: this is the reason for the motion, and it was after this news quotes went up.
The algorithm is roughly as follows: oil prices begin to decline, then the media publish the news with the statements of OPEC and they already react to the growth of trading robots.
One can only wonder how much more oil can grow on the same headers.