The cost of February futures for Brent on the London ICE Futures exchange was $79.94 per barrel, which is $0.05 (0.06%) lower than the closing price of the previous session. At the trading on Tuesday, these contracts rose by 19 cents (0.2%) to $79.99 per barrel.
The price of futures for WTI oil for February on the electronic trading of the New York Mercantile Exchange (NYMEX) is $76.17 per barrel, which is $0.06 (0.08%) lower than the final value of the previous session.
Oil quotes were supported the day before by the dollar's depreciation, which increased the attractiveness of oil for investment by holders of other currencies.
Besides, investors are monitoring the situation with the coronavirus in China. It is believed that lifting quarantine restrictions and government stimulus measures are positive factors for fuel demand in the long term. At the same time, the rise in COVID-19 infections overshadows market optimism, MarketWatch notes.
After a long period of liquidation of long positions, the market has become more balanced, and the bullish mood is slowly returning to oil traders, wrote Stephen Innes, managing director of SPI Asset Management.
Despite all the fears about a recession in the economy, there are still those who want to buy oil after the decline in its prices. This shows that oil is one of the most needed commodities in the world, he added.
At the same time, reduced liquidity in the market, traditionally observed at the end of the year, puts pressure on quotes, the expert noted.
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