Oil "Brent" fall below $ 36.3 for the first time in 11 years

By Mohammed Emad

21/12/2015 09:30

Brother - Baghdad
Oil prices fell Brent crude Monday to a minimum without 36.3 for the first time in 11 years as a result of renewed fears of an oversupply of oil in the world markets with production survival around the world at or near the high levels as standard in addition to the approaching entry of new oil supplies from Iran and the United States market .

Futures prices for Brent fell to $ 36.32 a barrel during trading took place at about 0001 GMT, the weakest level since 2008, before rising slightly to 36.37 a barrel.

And it landed contracts for West Texas Intermediate crude prices of 20 cents to $ 34.53 a barrel and near the low level hit on Friday, which was the lowest level reached in 2015.

Analysts said. "The rise in the dollar in the wake of the lifting of US interest rate last week, which made oil consumption more expensive for countries that use different currencies, in addition to a renewed increase the number of oil rigs in the United States form a burden on crude oil prices."

And lead an oversupply of oil to the US excessively increasing the supply of oil in the world market at a time when major producers including Russia and OPEC is exceeding demand pumped hundreds of thousands of crude oil per day.

Russia and exceeded the production of ten million barrels a day, its highest level since the collapse of the Soviet Union, while OPEC production remains near record highs above 31.5 million barrels per day.

In addition to the current abundance of the supply of oil is likely availability of new quantities of oil soon from America and Iran because Iran hopes to increase sales in early 2016 immediately after the lifting of sanctions on Tehran.

On the demand side, there are also factors pushing down at the moment when the Northern Hemisphere beginning moderate unusually for winter and so to some extent because of the El Niņo phenomenon which led to a decline in demand for heating oil.