New York, May 22 . .- The price of Texas intermediate oil (WTI) closed this Friday with a drop of 1.98%, down to $ 33.25 a barrel, although it reports for the fourth consecutive time with a rise weekly, in a sign of rebalancing supply and demand and greater optimism about the gradual reopening of many economies, such as China.
At the end of trading on the New York Mercantile Exchange (Nymex), WTI futures contracts for July delivery subtracted $ 0.67 from the previous session on Thursday.
The price of Texas intermediate oil initially opened this Friday with a decrease of 3.36%, a negative trend that later moderated and that occurred as uncertainty resurfaced due to economic reopens and growth in China, the second largest consumer. world.
Oil prices fell in any case also due to mounting tensions between the United States and China and doubts about how quickly fuel demand would recover from the coronavirus crisis.
Fuel demand plummeted when the coronavirus pandemic began, prompting governments to impose restrictions on movements and lead companies to close their doors.
Oil has recovered in recent days as activity begins to resume, but prices fell after China reported on Friday that it would not publish an annual growth target for the first time. Beijing also promised more government spending as the pandemic continued to plague the economy.
“The coronavirus has annulled a decade of growth in global oil demand and the recovery will be slow,” recalled Stephen Brennock, PVM expert.
“A second wave (of the coronavirus) is not such a remote possibility and a new round of blockades could send prices to much lower levels very quickly, and the market knows this,” said the senior analyst of oil markets at Rystad Energy, Paola Rodríguez Masiu.
Oil prices have plummeted more than 40% in 2020, rebounding in recent weeks in part due to OPEC + efforts to reduce supply. The Organization of the Petroleum Exporting Countries and its allies, known as OPEC +, are reducing supply by a record 9.7 million barrels per day from May 1 to support the market.
On the other hand, gasoline futures contracts maturing in July remained flat although somewhat down at $ 1.03 a gallon, and natural gas contracts, which expire the same month, added two cents to 1, $ 73 for every thousand cubic feet.