• 3 minutes "Biden Is Running U.S. Energy Security Into The Ground" by Irina Slav
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 9 minutes "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 10 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 8 days Energy Armageddon
  • 5 hours "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 4 days "Forget Oil, The Real Crisis Is Diesel Inventories: The US Has Just 25 Days Left" by Zero Hedge - 5 Stars *****
  • 4 hours Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 4 days "The Global Digital ID Prison" by James Corbett of CorbettReport.com
  • 4 days "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 1 day Is Europe heading for winter of discontent with extensive gas shortages?
  • 4 days The Federal Reserve and Money...Aspects which are not widely known
  • 5 days Goldman Betting on Cryptocurrencies
  • 8 days Сryptocurrency predictions
  • 13 days Putin and Xi Bet on the Global South
Volkswagen Sales In China Stall In 2022

Volkswagen Sales In China Stall In 2022

Volkswagen announced this week that…

Bearish Sentiment Is Building In Oil Markets Once Again

Bearish Sentiment Is Building In Oil Markets Once Again

Bearish sentiment is building in…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Oil Heads For Another Week Of Losses As Recession Fears Mount

  • Oil prices are set to record another weekly loss, continuing a trend that has seen oil prices tumble from early June highs.
  • Threats from Putin that Russia will stop supplying oil to any countries that implement a price cap added some upward pressure to prices.
  • All eyes will be on OPEC+ if oil prices continue to fall, with the group making clear that it will intervene if oil prices fall too low.

Crude oil prices appear to be set for another losing week pressured by central bank monetary policies and continued demand concern.

Brent crude was trading at above $89 per barrel and West Texas Intermediate was at over $84 per barrel at the time of writing, both modestly up on morning trade in Europe, largely thanks to renewed supply fears after Russia’s warning it would stop selling oil to countries that enforce a price cap.

"Will there be any political decisions that contradict the contracts? Yes, we just won't fulfill them. We will not supply anything at all if it contradicts our interests," President Vladimir Putin said this week following news of a gas price cap being considered by the EU.

"We will not supply gas, oil, coal, heating oil - we will not supply anything," he added.

Meanwhile, the latest weekly EIA report on oil inventories added to downward pressure on prices as it estimated a sizeable inventory build of 8.8 million barrels for the week to September 2.

Yesterday, U.S. Energy Secretary Jennifer Granholm told Reuters the administration was considering an additional release of crude oil from the strategic petroleum reserve if it was necessary after October, when the current release plan ends.

The Biden administration had earlier this year said it would begin to replenish the SPR once the release program ends. It envisaged a total of 180 million barrels to be released into the market as a way of bringing retail fuel prices down.

"Fundamentally, a sharp decline in the US SPR suggests that undersupply is still a predominant issue in the physical oil markets, though recession fears may continue to weigh," CMC Markets analyst Tina Teng told Reuters today.

Recession fears also remain an important issue for prices, which earlier this week caused Brent to slide below $90 per barrel for the first time since February.

“The spectre of a demand-sapping recession across the western world is closer to becoming reality as soaring inflation and rising interest rates dents consumption,” PVM analyst Stephen Brennock told the FT.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:

Download The Free Oilprice App Today

Back to homepage

Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News