Fall In Crude Oil Prices Amid Low Gasoline Demand

The prices of Brent Crude Oil have experienced a fall at the international market from $87.61 on Tuesday down to $85.61 as of Friday, March 22, 2024.

Oilprice.com noted that the WTI Crude fell to $80.88 after it rose to $83.77 in the past three days.

Similarly, the Murban Crude sold for $85.54 on Friday evening, down from about $85.50 on March 11..

It was reported on Monday that prices of crude oil increased within the past one week following attacks on Russian refineries by the Ukrainian fighters.

From $82.44 in March 11, the Brent Crude increased to $86.87 on Monday morning, while the WTI crude, which sold at $78.13 per barrel on March 12, soared to $81.77 as of Monday.

According to report by Oilprice.com, the string of Ukrainian drone attacks on Russian refineries which were affecting fuel output in the world’s largest exporter was one major reason for the rise in crude prices in past week

However, the fall in the prices of crude oil in the global oil market was on Thursday blamed on weaker United States gasoline demand data and reports of a United Nations draft resolution calling for a ceasefire in Gaza.

Reuters said, although gasoline inventories fell for a seventh week from 3.3 million barrels to 230.8 million gasoline product supplied, a proxy for product demand slipped below 9 million barrels.

Reuters further noted that the oil prices were also pressured by confirmation that the US drafted a United Nation’s resolution calling for a ceasefire that would ensure the release of 40 Israeli hostages in return for hundreds of Palestinians detained in Israeli jails.