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Fuel depreciation is an asymmetric process: when oil prices fall, fuel prices do not decrease as fast, financial market analyst Preslav Raykov said of market conditions.
According to him, fuel prices at service stations in Bulgaria can be expected to drop by between 5 and 10%.
According to him, there are around 4 units between the end user and the price of crude oil: the main oil traders, refineries, refinery customers and the sales network for us.
According to him, it is expected that in three weeks the oil storage sites will be depleted, which will lead to a further drop in prices at the end of the month.
They are forecast to drop below $ 20 a barrel for Brent crude oil and US light crude oil. USA Less than $ 10.
Whereas, prior to the pandemic, 100 million barrels were consumed per day worldwide, today, 32 million barrels are unnecessary and stored.
As the main reason for the pressure on oil prices, he cited concerns that storage sites are running low. They have led to a 32% drop in consumption of petroleum products since the onset of the coronavirus pandemic.
In response to whether the Organization of the Petroleum Exporting Countries (OPEC) could influence oil production, the analyst clarified that he had the tools to do so.
However, OPEC countries depend on oil exports and cannot reduce their production indefinitely.
He insisted that other countries outside the cartel will be sought, such as Brazil, which have just entered the oil markets and have not yet committed to reducing production.
Sofia / Bulgaria
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