The key event for the oil was yesterday's meeting of OPEC in Vienna. Brent was trading at $ 49.80 before the publication of the decision. Oil prices dropped sharply due to the lack of agreements. Exporting Countries oil Representatives failed to reach agreement on the daily oil production. Although hard to believe that they were at the meeting discussed the ceiling of daily oil production at a price of $ 50 per barrel. Quotes Brent fell to $ 48.62 per barrel.
Later it became known that the new secretary general of OPEC became the representative of Nigeria. August 1 the former head of state-owned Nigerian National Petroleum Corp. (NNPC) Mohammed Barkindo replace the current Secretary General Abdalla Salem El-Badri. The next meeting will be held on November 30 in Vienna.
At 18:00 MSK released US Department of Energy report on oil reserves in the country. For last week inventories fell by 1.37 million barrels. Daily production decreased by 32 th. Barrels to 8.735 million barrels per day.Together, the two factors, the choice of a new secretary-general of OPEC, and reduce production and reserves of oil by the end of the trading session back to the level of $ 50.27. "Bulls" have won back all the losses.
What to expect next from oil?
Below is a schedule of two hours of Brent oil. Note that as of May 20 formed in the channel model W-shaped.Yesterday the beginning practiced third such figure. When prices rise above $ 50.30 waiting for increase of oil prices to the top of the channel $ 51.17. The decline in oil prices will be seen from the zone of $ 54-55 per barrel. Prevent access to $ 51 today can only report a strong Non-Farm Payrolls. Its release is scheduled for 15:30 MSK. At 20:05 MSK Baker Hughes will present data on the number of drilling rigs.