Oil fell on White House announcements

On Wednesday, March 30, at the end of the day, a barrel of Brent rose by 1.25% to $112.60. The price rose as there was skepticism about the progress in the negotiations between the Russian Federation and Ukraine, and concerns about oil supplies from Russia returned to traders.

Also, the oil market received support from the report on oil reserves. According to the latest data from the US Department of Energy, oil inventories in the US in the week ended March 25 decreased by 3.45 million barrels to 409.95 million barrels (the forecast was -2 million barrels). Inventories of gasoline increased by 785 thousand barrels and amounted to 238.83 million barrels (the forecast was -1.6 million barrels), distillates - by 1.4 million barrels, to 113.53 million barrels (1.5 million barrels).

On Thursday, March 31, at auction in Asia, oil prices fell by 5.20% to 106.68 per barrel. The US is considering releasing a million barrels of oil daily from the strategic reserve for several months. The market reacted negatively to the information, but must quickly adapt to it.

The focus is on the OPEC+ meeting. The alliance is expected to stick to plans to increase production by another 400,000 bpd in May. For some members of the group, the volume may increase.

On Thursday, the support level is $103. It is expected to recover the price to $110.