Crude Oil drops below $100

[Smartprofit]

Oil prices are very volatile.  

However, there is a certain average oil price and there is a tendency to return to this average price.  It is less than $100 (even after adjusting for US dollar inflation).  The world economy is currently in a recession.  This circumstance does not contribute to the growth of crude oil prices.  

At the same time, the sanctions imposed on Russia have a double effect....

On the one hand, the supply of oil in the world is declining, on the other hand, Russia is forced to sell its oil at a discount.  which leads to dumping and contributes to lower prices.

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[romero121]

Oil price have reached an average range than completely down market. Often interesting incidents happening around. All around the world, Major of the countries are experiencing the worse economic situation. Oil market plays a vital role, and the same keeps specific countries undisturbed from their economic growth.

For now the problem have arisen out of the Ukraine - Russia war. This have to settle down, but things are at its worst. Ukraine President Volodymyr Zelenskyy have visited American President Joe Biden and made some discussion. This will once again keep Russia on pressure. On the other side China is once again facing hard days out of covid-19. So, the economy correction won't happen for now.

[blockman]

It's still 50% that has increased in our country based on my own tracking pre-pandemic. It's thanks to one law in our country where the government can't control the price of it against the oil companies that are importing and doing it on their own refinery.
Still, I'm thankful that I've seen the drop from the highest and that's why it's relieving yet, I want to see to go it back from the price where it's been before but, it's unlikely to be there again.

[odunybiz]

This shouldn't be new again. It is something that we should expect to happen one day as most oil producing countries normally rely on this for their economy growth. And this will definitely be affected as more oil producing countries were discovered. It is preferable for country to have an alternative source of generating money so that their country's economy won't be affected as price of fuel decreases.

[DrBeer]

A new, to be honest, very unexpected for me, round of the Covid-19 epidemic in China will now again affect the volume of purchases of Russian oil, the main buyer of which has now become India and China.
Why India and China? There are several reasons:
- for some "money does not smell"
- Russia has nowhere to put surplus oil, and China and India are cruelly dumping Russian oil, forcing Russia to sell its oil to India and China with huge discounts (40-50%).
And now China has problems that again, with a high probability, will lead to a drop in demand for oil, with huge reserves of oil purchased earlier from Russia.
Moreover, a new round of the epidemic may become the impetus that will launch destructive processes in the Chinese economy, which already has big problems.

PS In 24 hours, natural gas futures collapsed in price by about 18%

[Cryptodebjoe]

Russia is willing to sell for as low as 20 dollars per barrel and it looks like the sanctions isn't affecting them because some other countries that are thier allies can go for it at a cheaper rate this is where the importance of the crypto currency comes into play....

[tjtonmoy]

Oil and gas price has increased here a lot since the beginning of the war. It's still the same as it was then. Not much supply from Russia, which maybe the main reason here. I don't really care much, though. People will buy it despite its price. Only the poor will suffer in this case.
Don't know if we will even see the price drop in a few years. Still processing what will happen next.

[Sithara007]

Well, it was fun while it lasted. Crude oil is on the rise again and is expected to average $100 per barrel in 2023. WTI is already at $80 per barrel, and Brent oil is at $84 per barrel, an approximate 10% increase compared to the recent year low after the war. A few days before the entry of 2023, the future already looks unpleasant, with inflation expected to rise even further, up to an extra 5% of what it currently is.

In the meantime, Europe is accusing the USA of profiting from the war by selling CNG even up to X3 to X4 its price since, after the imposed sanctions against Russia, the USA became one of the main importers.

https://oilprice.com/Energy/Oil-Prices/100-Oil-To-Return-In-2023.html

Brent is now trading at $84, while the Urals is also being purchased at >$50 per barrel levels. OPEC may not be happy with these levels, as they want a minimum of $100 per barrel. I expect more production cuts from Saudi Arabia and UAE, unless there is a drastic reduction in the Russian output. American shale oil production has remained more or less flat. Once the consumption in China picks up, I expect Brent to trade at $100 to $120 per barrel. LNG prices in 2023 will depend a lot on how severe the winter is in Europe this time.

[DrBeer]

Oil and gas price has increased here a lot since the beginning of the war. It's still the same as it was then. Not much supply from Russia, which maybe the main reason here. I don't really care much, though. People will buy it despite its price. Only the poor will suffer in this case.
Don't know if we will even see the price drop in a few years. Still processing what will happen next.

Bubud is short, just facts, just numbers:
1. Natural Gas Futures - Jan. '23(MNGc1) = 380.60
-48.00 (-11.20%)

2. Graph, in dynamics for 6 months



3. Link where you can regularly monitor the gas market
https://ru.investing.com/commodities/natural-gas?cid=49787

[Ultegra134]

Well, it was fun while it lasted. Crude oil is on the rise again and is expected to average $100 per barrel in 2023. WTI is already at $80 per barrel, and Brent oil is at $84 per barrel, an approximate 10% increase compared to the recent year low after the war. A few days before the entry of 2023, the future already looks unpleasant, with inflation expected to rise even further, up to an extra 5% of what it currently is.

In the meantime, Europe is accusing the USA of profiting from the war by selling CNG even up to X3 to X4 its price since, after the imposed sanctions against Russia, the USA became one of the main importers.

https://oilprice.com/Energy/Oil-Prices/100-Oil-To-Return-In-2023.html

Brent is now trading at $84, while the Urals is also being purchased at >$50 per barrel levels. OPEC may not be happy with these levels, as they want a minimum of $100 per barrel. I expect more production cuts from Saudi Arabia and UAE, unless there is a drastic reduction in the Russian output. American shale oil production has remained more or less flat. Once the consumption in China picks up, I expect Brent to trade at $100 to $120 per barrel. LNG prices in 2023 will depend a lot on how severe the winter is in Europe this time.

The issue is that there's absolutely no balance anymore. Oil prices are extremely volatile and cause gas prices to change on a weekly or even daily basis. Predictions are speculating an increase in oil prices, even surpassing $100 per barrel. I'm getting a feeling that 2023 will be way worse than 2022. On the other hand, CNG has plummeted, marking a 11% decrease just within 24 hours, probably due to the snow storm. I didn't find much relevant information justifying this crash.

[Cryptomultiplier]

Oil and gas price has increased here a lot since the beginning of the war. It's still the same as it was then. Not much supply from Russia, which maybe the main reason here. I don't really care much, though. People will buy it despite its price. Only the poor will suffer in this case.
Don't know if we will even see the price drop in a few years. Still processing what will happen next.

The poor people are not secluded when it comes to scarcity of oil and gas. The rich too get affected. Although they may not have it as bad as the poor who can barely afford it, still, they might have to queue up to get the quantity they want.
With this oil and gas inflation and the price drop as minimal as it is, it is no wonder other alternatives to suit the power/energy demand are being developed and those like batteries, are being upgraded to be optimum and efficient do a duration before charge. If the prices have dropped  below $100 now, perhaps we would enter next year, 2023 with hopes of the prices being lower and steadily available for consumption, as well as other forms of energy being deviled into too.