Brent oil is trading at $ 119.73 per barrel on international markets.
The price per barrel of Brent crude, which rose to $ 124.33 on Friday, completed the day at $ 122.01. The price of a barrel of Brent oil rose to $ 119.73, a decrease of 1.87 percent from the closing date of 09:31 today. At the same time, West Texas Intermediate (WTI) crude oil found buyers at $ 118.36 a barrel.
The drop in prices is due to demand concerns, which have gained ground on global oil markets.
The re-implementation of some measures after the rise in Covid-19 cases in China reinforced the possibility that the outbreak in the country had not been fully controlled.
The inability to stop the increase in Covid-19 cases and the continuation of restrictions has caused concerns that economic activities would be adversely affected and a drop in demand in the second largest oil-consuming country in the world.
Experts noted that the perception that restrictions related to Covid-19 in China, as well as concerns about global inflation and slowing economic growth, will lead to a decrease in oil demand in the coming months, has strengthened in the markets.
It is stated that technically the Brent range from 120.65 to 121.65 dollars can be followed as resistance and the range from 119.65 to 118.65 dollars as a support zone.
WHAT IS BRENT PETROL?
It is oil that drives the world oil market. Also known as London Brent or Brent Blend. Referred to as “Brent Goose” by the issuing company Shell, it contains 0.37% sulfur, which makes Brent Petroleum in the “sweet oil” class, which is easier to process.
For refineries that process crude oil, it is easier to produce low-sulfur gasoline or diesel, i.e. sweet oil. The oil extracted from this region is sweet and light. Therefore, it is easy to refine and therefore suitable for the production of gasoline and diesel. It also facilitates direct shipping to remote areas by sea as it is shipped offshore.
For the price of oil, it matters where it comes from and which region it is extracted from. Cheaper and faster production is more in demand. There is also a difference between the price of oil extracted from the sea and that extracted from the land.
The types of crude that are accepted as benchmarks are WTI (Western Texas Intermediate), Brent and Oman, WTI oil is traded on NYMEX, Brent oil is traded on ICE, and Oman oil is traded on DME. WTI is the name given to oil extracted from Central America, Brent oil from the North Sea and Oman oil from the Middle East.
BRENT OIL 10 YEARS OLD GRAPH
HOW MANY LITERS OF BRENT OIL IS A BARREL?
According to the data on the CMB website; One barrel of oil is equivalent to 42 gallons of crude oil (159 liters).
One barrel of crude oil can produce 19.6 gallons of gasoline, 10 gallons of diesel and heater fuel, 4 gallons of jet fuel, 1.7 gallons of heavy fuel oil, 1.7 gallons of LPG and 7, 6 gallons of other derivatives.
Not all flocks are equivalent.
LAST STATE IN THE MARKETS 13 JUNE 2022