Oil: an overview of the market situation

Oil prices fell today, dropping at the same time below $ 103 a barrel as concerns about demand prospects outweighed expectations for the meeting of the U.S. Federal Reserve and the European Central Bank, which may contribute to further stimulate the world economy. Note that in the month of April, oil prices fell more than 6 percent, heading for its biggest monthly drop since May last year.

Underlining the difficulties facing the European economy, data released today showed that the unemployment rate in the euro area rose in March to a level of 12.1 percent, while the volume of retail sales in Germany fell, registering with the second monthly drop in a row. In addition, the added negative data from Spain, which revealed that by the end of the first quarter the economy contracted, noting the seventh consecutive quarterly decline.

At the same time, today it was announced that Japan's crude oil imports from Iran rose in March by 4.5 percent, compared with the same month a year earlier, as the third-largest oil importer won his third rejection of U.S. sanctions on Tehran to reduce the supply of the country. Economists note that the increase in imports of Iranian oil, Japan indicates a decrease in the demand for oil from other regions.

The cost of the June futures on U.S. light crude oil WTI (Light Sweet Crude Oil) fell to 93.27 dollars per barrel, the lowest intraday level since Dec. 19.

June futures price for North Sea Brent crude oil mixture fell $ 1.41 to $ 102.35 a barrel on the London exchange ICE Futures Europe.