Global oil prices ended slightly lower during the current trading session, and both the Brent crude and West Texas Intermediate (WTI) futures were lower than the previous session. The market observers said that the recent decline was mainly due to profit-taking by the investors and the world economy.
WTI crude oil is currently $89.31 per barrel, while Brent crude is currently $96.78 per barrel, according to the latest data. The drop comes after a sharp rise in the past few days, when investors are now taking a cautious look at the new global supply and demand situation.
Experts say the price of crude oil in the coming few days will be dependent on several international factors such as the geopolitical situation in the Middle East, OPEC+ decisions and news on crude oil inventories in the United States and global economic indicators. If anything unusual happens with these, then the international oil market is likely to be volatile once again.
But if demand for energy fuels keeps building up or if supply is disrupted, crude oil prices could resume their upward climb, energy sector analysts say. However, when the world’s economies show signs of sluggishness, then price pressure is likely to continue.
The impact of fluctuations in global crude oil prices affects the price of petroleum products in Pakistan, the transportation cost, the industrial cost and the overall inflation for oil-importing countries such as Pakistan. That’s why global oil market developments are always under the government’s, business people’s and financial markets’ eyes.