Thursday saw oil prices tumble more than 1%, hitting their lowest since springtime. Word is, this happened because oil traders are anticipating talks between the U.S. and Russia’s leaders. The meeting between Trump and Putin scheduled for Budapest is being held with the aim of resolving the conflict in Ukraine. Naturally, folks in oil trading are worried about how much fuel will be available globally in the coming time.
As a result of this news of the upcoming summit between the USA and Russia, the oil prices were impacted negatively. The Brent crude dropped by 85 cents, exactly a 1.37% decline. WTI, on the other hand, dropped by 81 cents, or 1.39%, to $57.46.
The EIA reported that oil supplies increased by 3.5 million barrels last week. The total quantity for supplies reached 423.8 million barrels, and that also impacted the slide.
Although forecasts had only called for a 288,000-barrel increase, it was a larger increase than had been anticipated. Meanwhile, American oil output hit an all-time high of 13.636 million daily barrels that pushed oil prices down.
Folks on Wall Street keep an eye on how much oil India gets from Russia. Apparently, a while back, President Trump recalled that India’s leader, Narendra Modi, promised to halt those purchases—even though Russia provides most of India’s oil. Indian refineries seem to be gearing up to buy less oil from abroad, bit by bit.
Oil markets are still on edge. Prices shift with world events and building stockpiles, alongside worries about how much oil is available. Traders are particularly focused on what happens when Trump meets Putin and also on whether India decides to buy more oil from other countries, decreasing imports from Russia.
