As of today oil prices have turned towards a decline once again. The price drop is motivated by a projected increase of supply, breaking the established balance of supply and demand that ruled the market in the past week or two.
The first factor influencing the price is that the oil reserves in the United States are increasing once again, according to preliminary data by the American Petroleum Institute. Higher levels of supply in the US are bringing prices down. The second reason is that Venezuela, which has been locked in a major financial crisis which makes it difficult for them to manage their oil exporting responsibilities, might be getting outside investment help.
In general the expectations for oil are that supply will continue to increase in the long term, especially from major players like the United States and Canada, who are not members of OPEC.
The Brent crude fell to $75.75, while the light crude was at $68.43.
