Oil prices down about 10% this year

Oil prices fluctuated strongly in each trading session this week. Illustration photo: Oil and Gas Group

Specifically, Brent crude oil price traded at 77.04 USD/barrel, down 0.36 USD, equivalent to 0.47%. Similarly, US WTI crude oil price decreased 0.69 USD, equivalent to 0.97%, trading at 71.29 USD/barrel.

Oil prices are trading at $77.04 per barrel. Photo: screenshot

Both oil commodities are expected to end the year down around 10% due to geopolitical concerns and production cuts.

Oil prices continued to fluctuate today as some shipping companies will resume commercial shipping through the Red Sea, easing supply concerns. Earlier, major companies stopped using routes through the Red Sea after Yemen's Houthi forces began targeting ships.

However, some crude and refined product tankers still choose the longer route around Africa to avoid potential conflicts in the region.

On December 29, Israel intensified its attacks in southern Gaza. Andrew Lipow, president of Lipow Oil Associates, commented that the market will continue to see volatility as we move into 2024 due to the impact of geopolitical events and concerns that conflict could spread throughout the Middle East.

Production cuts by the Organization of the Petroleum Exporting Countries and its allies (OPEC+) have not been enough to support prices, with benchmark oil prices down nearly 20% from their yearly highs.

OPEC+ is currently cutting production by about 6 million barrels per day, or about 6% of global supply. OPEC+ is facing weaker crude demand in the first half of 2024 as the group's global market share falls to a low due to production cuts and Angola's exit.

A Reuters survey of 30 economists and analysts forecast Brent crude oil prices to average $84.43 a barrel in 2024, below the $100 a barrel in 2022.

Limiting the decline in oil prices was data from the US Energy Information Administration (EIA). In October, total US oil demand increased by 3.4% compared to the same month last year. US crude oil production decreased slightly to 13.248 million barrels/day.

The retail price of domestic gasoline on December 30 is specifically as follows: E5 RON 92 gasoline is not more than VND 21,186/liter; RON 95-III gasoline is not more than VND 22,148/liter; diesel oil is not more than VND 19,788/liter; kerosene is not more than VND 20,457/liter; fuel oil is not more than VND 15,685/kg.

Source: https://laodong.vn/kinh-doanh/gia-dau-giam-khoang-10-trong-nam-nay-1286287.ldo