Oil prices fell to a yearly low

Within 3 days the price of Brent crude has lost 10%, fell to its lowest since October 20, 2017 level – 56 $/barrel, and continue to trade at a 56.5 $/bbl.

WTI crude Oil fell even more – the price has lost 11.5% and the evening of 18 December fell to its lowest since 11 September 2017 level - of 45.88 $/barrel and is now trading a 46.5$/barrel.

the Fall in oil prices continues for the third consecutive session, under pressure from reports of increased inventories and forecast a record production volume in the United States and Russia on the background of a significant sell-off in global stock markets.

Recently, OPEC decided to cut daily oil production in 2019 at 1.2 million barrels.

According to the monthly report of U.S. Department of energy, oil shale deposits increased by 134 thousand barrels per day to 8,166 million barrels per day.

the American petroleum Institute reported crude oil inventories for the week by 3.45 million barrels, far exceeding expectations.

Collapse of oil prices will adversely impact the vegetable oil markets that started to recover after the previous fall in November. So, in the month of December futures for palm oil in Kuala Lumpur rose by 7.7% to 515,6 $/t, while prices for soybean oil in Chicago increased by 5% to 633 $/t