The oil reaches almost 50 dollars after the new constitution of the American stock; The G20 and OPEC expected by Investing.com

Investing.com – Oil seems to be out of breath in the $ 50 zone while the long roads to Buenos Aires and Vienna attract it.

Fed chief Jerome Powell overturned crude prices and briefly pushed up crude prices on Wednesday, before a new wave of sales hammered the US West US Intermediate down 2% to its lowest level in 13 months and at the limit of 50 dollars per barrel.

Ol could still bounce back at the next session as traders fear excessive volatility ahead of the G20 meeting in Buenos Aires on Friday, where the United States and China could reach a trade deal that will boost Beijing's energy demand, as well as OPEC meeting next week. a reduction in production could reduce the perceived overabundance of crude supply.

"Otherwise, I see we are reaching the low levels of $ 48 on the WTI," said Tariq Zahir, managing director of Tyche Capital Advisors, a New York-based oil-focused fund that said earlier this year that oil between 70 and 80 dollars was "just too expensive".

set $ 1.27, or 2.5%, at $ 50.29 per barrel. WTI is about 35% below the 77-year high of nearly $ 77 per barrel in early October. The low of the session for Wednesday was $ 50.09, the lowest since October 2017.

The United Kingdom, the global benchmark for oil, lost $ 1.31, or 2.2%, to settle at $ 59.09 at 15:30 ET (8:30 PM GMT). The Brent has lost 32% since it reached its highest level in four years, from about $ 87, early last month. On Friday, it fell for the first time below the $ 60 support that had been in place since July 2017.

The latest sale came after the Energy Information Administration reported that US crude oil rose 3.58 million barrels last week compared with a forecast of only 770 000 barrels. Inventories have increased by 56 million barrels in the last 10 weeks. With 450 million barrels in total, US crude inventories are also at their highest level since the last week of Thanksgiving.

The EIA report announced an unexpected drop of 760,000 barrels over forecast for a construction of 640,000 barrels. But recorded an unexpected gain of 2.61 million barrels, while forecasts forecast a drop of 860,000.

Volatility in oil resumed before the G20 speculating on the ability of President Donald Trump and his Chinese counterpart Xi Jinping to conclude a trade deal on the sidelines of the Buenos Aires meeting.

In an interview with The Wall Street Journal on Monday, Trump said it was "very unlikely" to accept Beijing's request to suspend Washington's plans to raise tariffs to 25% on some 200 billion dollars worth of Chinese goods, as of January 1st. .

A survey of Bloomberg badysts and a note from Goldman Sachs (NYSE 🙂 predicted that Saudi Arabia would advocate for a reduction in production at the expanded meeting of OPEC +, which includes Russia, in Vienna next week, despite Trump's persistent tweets discouraging any reduction. which lead to higher oil prices.