Therefore, the fluctuating price per barrel is of importance to the oil dealers and nations at large. In the recent past, the prices of crude oil have experienced a rapid decline in the world’s oil market. The changes have made…
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In addition, several deals that America has made with war-torn oil-producing countries. The art article addresses the factors mentioned above.
The quantity of crude futures declined in the recent past on concerns that the global oversupply is hurriedly filling oil stocks. Total petroleum output in the year 2015 is expected to go up to 9.35 million barrels every day. The quantity is slightly more than the 9.3 million barrels daily forecast in the previous period, the Energy Information Administration (EIA) highlighted last week in its monthly short-term energy outlook. Independently, oil stocks went up more than anticipated marking the several consecutive week of a higher overall than at any other time for the last 80 years and more. The American commercial crude oil stocks rose by approximately 4.5 million barrels from the previous week; the EIA said Wednesday.
Another reason weighing on oil price is the OPEC policies on the export of crude oil to the global market. As a result, the American oil output could be adversely affected in the recent years due to low oil prices offered by the OPEC countries. In addition, OPEC also outlines that the lower global oil prices may have affected the marginal barrel output from other sources, such as shale. The OPEC is a significant body in the oil industry. Therefore, its decisions and marketing affects trade in crude oil because it controls a large percentage of the world’s fuel production. As such, any decision that they make directly affects the market prices of the commodity (Why the oil price is falling , 2014).
In this case, the petroleum trading block may take actions targeting their competitors in order to establish gain control of a larger market. Such activities may include flooding the market with the commodity leading to market forces coming into play and hence price decline.
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The level to which fuel price fluctuations as affected by global demand for oil, which in turn affects transport costs can only be explained using supply and demand theories. This paper will discuss how fuel price fluctuation is affected by global demand for oil, which in turn affects the transportation cost.
Whereas WTI is a reference to the USA crude oil, Brent is for North Sea, Dubai for Middle and Far East, and Tapis is for Asia-Pacific region. In this paper, data is obtained from WTI for the crude oil spot prices between January 1986 and October 2012. The crude oil spot prices used in testing of the identified GARCH models are daily prices.
The oil companies and other intermediaries participated with the embargo resulting to unheard levels of increase in world oil prices, reaching as high as four times the previous highs. Economies in industrialized countries in the world were greatly affected.
The prices of light, low-sulphur grades like American WTI and North Sea Brent grades have at times, risen much faster than those of so-called heavy crude grades that contain sulphur content. For Example, the price of Russian Urals Blend, a heavy grade has occasionally been almost 7 dollars lower per barrel than Brent.
This paper explores the various the manners and angles that have characterised the ways in which various media have reported or commented on the matter of the oil price crisis in Britain.
There has been a notable pattern in the oil prices crisis reportage across various media to place the blame on Saudi Arabia which is the world's largest oil producer.
Largely, market prices of gasoline products change whenever crude oil prices change. Policy makers in the oil industry are aware of the influence of this relationship. This paper explores the relationship that exists between the crude oil and the gasoline
This is the economic behind increase and decrease in the price of oil. A decrease in the supplied result to a rise in the prices of oil. Moreover, the law of demand require that an increase in the supply of oil produced in