KUWAIT CITY, Nov 26: Oil prices went down for the fifth consecutive week due to an increase in the selling of future contracts as well as a decrease in geopolitical tension in the Middle East, which in turn lessened fears over energy supplies’ interruption, said experts on Sunday. Speaking to KUNA in various interviews, the experts said that a decrease in US commercial oil reserves as well as reserves of gasoline in addition to the recovery of the US Dollar index boosted economic data, which also showed a decrease in unemployment rates.

The price of Brent crude last week saw a decrease of 0.4 percent to settle at USD 80.58 per barrel, while the West Texas Intermediate decreased by 0.5 percent at USD 75.54 per barrel. The oil market saw unhinged selling operations and fears of entering depression and slow economic growth after the release of US retail data showing a decrease in spending and purchases by American consumers, said a member of the teaching staff at the College of Technological Studies of the Public Authority for Applied Science and Education (PAAET) Dr. Mubarak Al-Hajri. He predicted that there would be an extension of OPEC+’s production reduction deal; however, he noted that Mongolia and Nigeria were not abiding by their share in the deal approved by the coalition. On his part, energy sector expert Jamal Al- Gharabally predicted that the war carried out by the Israeli occupation regime in the Gaza Strip would continue after the current humanitarian truce, leading to a hike in oil prices, which might reach USD 120 pb. He went on to say that extracting from the US crude reserves during winter would increase prices and also increase voluntary supplies from Saudi Arabia and Russia by around one million barrels per day.

Meanwhile, oil expert Fares Al-Salem said that oil prices saw a decrease due to global demand for oil derivatives, but such a situation would change by the coming of winter in North America and Europe, leading to an expected increase in energy demands this time of the year. He indicated that the status of the Chinese economy remained “vague” especially with the pilling up of crude oil reserves with the expectation that oil imports decrease by the first half of next year. These factors would encourage the OPEC+ coalition to extend its production reduction deal for another period. (KUNA)