Oil drops by almost 3% due to the statements of the Deputy Prime Minister of the Russian Federation

(Updated title, quotes)

LONDON, May 25 (Reuters) – Oil prices fell on Thursday after Russian Deputy Prime Minister Alexander Novak failed to fuel expectations of further OPEC+ output cuts at next week’s meeting.

Brent crude oil futures fell at 5:15 p.m. Moscow time by 2.73% to $76.22 a barrel, WTI fell 3.01% to $72.1 a barrel.

“I don’t think there will be any new steps because just a month ago some decisions were made to voluntarily reduce oil production by some countries due to the fact that we are seeing a slow pace of global economic recovery,” Nowak said. .

In recent days, leading OPEC+ producers have been giving a number of conflicting signals about future mining policy, which makes it particularly difficult to predict the results of the next meeting of the cartel on June 4 in Vienna.

At the previous session, the quotations supported the words of the Saudi Arabian energy minister, who on Tuesday warned speculators about the consequences of the bear’s game.

Uncertainty over the US debt ceiling also weighed on prices.

Representatives from U.S. President Joe Biden and Speaker of the House Kevin McCarthy held what both sides called productive talks on Wednesday as they continued to reach an agreement to raise the U.S. government debt ceiling to avoid a catastrophic default.

Contrary to analysts’ expectations, oil was not supported by a large drop in US crude inventories in the week leading up to May 19.

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(Ahmad Ghaddar featuring Jeslyn Lerch in Singapore)


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