Brent Update & OPEC+ decision

On Thursday, March 31, at the end of the day, a barrel of Brent fell by 6.28% to $105.52. The price fell amid the decision of the White House to release 1 million barrels of strategic reserves daily for six months. More than 180 million barrels will be allocated from strategic reserves.

Meanwhile, OPEC+ ministers voted to increase oil production quotas by 432,000 bpd from May. The Alliance believes that fundamentally the market is in a balanced state, and price volatility in the market is caused by geopolitical factors. The next OPEC+ meeting will take place on May 5, 2022.

On Friday, April 1, Brent oil fell to $104.58 per barrel. The focus today is the report on the labor market in the US for March. The impact on the oil market will be limited, but worth paying attention to.

Zone 103-104 is a strong support. If buyers do not keep it, then they will have to prepare for a price reduction to $99 per barrel. For a bounce, the target is kept at $110.