(VIANEWS) – Crude Oil (CL) has been up by 15.55% for the last 21 sessions. At 19:50 EST on Thursday, 8 December, Crude Oil (CL) is $72.01.
Why is Crude Oil Future Going Down?
Historically, the price of crude oil has fluctuated due to external events. For instance, Hurricanes can have an impact on prices. The price of oil is also influenced by political instability.
The Organization of Petroleum Exporting Countries, or OPEC, is a group of countries that control the world’s largest crude oil reserves. They are also responsible for maintaining a balance between supply and demand. OPEC limits production to maintain a reasonable level of oil price. Several countries are not fully compliant with their agreements.
The oil price was down at the beginning of September, and is still a fraction of its value from when it started the year. However, the International Energy Agency (IEA) has predicted a slide in the oil market. The IEA expects that the global oil market will drop by 240,000 b/d in the last three months of 2022.
Goldman Sachs predicts that the oil price will be stable in the next year and half, with a barrel of Brent rising to $65. They also believe that global economic growth will pick up, and will help drive demand higher. The United States, the world’s largest consumer of oil, would see a 0.5% to 1.0% increase in GDP.
Oil demand is mainly driven by strong global economic growth. The IEA’s forecast also indicates that demand will rebound in the first quarter of 2023. China, the world’s biggest oil consumer, imports most of its oil. But it has also faced a slowdown in its economy, which is contributing to the sliding oil market.
Today’s last reported volume for Crude Oil is 3714, 99.99% below its average volume of 21119756222.58.
Crude Oil’s last week, last month’s, and last quarter’s current intraday variation average was a positive 1.52%, a negative 0.64%, and a positive 2.01%, respectively.
Crude Oil’s highest amplitude of average volatility was 1.62% (last week), 1.90% (last month), and 2.01% (last quarter), respectively.
Commodity Price Classification
According to the stochastic oscillator, a useful indicator of overbought and oversold conditions, Crude Oil’s commodity is considered to be overbought (>=80).
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