Oil is at its lowest level since January. gas rises

Crude oil is trading at a loss to its lowest level since January as concerns about demand for raw materials in China escalate.

At the same time, the dollar is rising, which makes buying “black gold” more expensive for buyers outside the United States.

In London, North Sea Brent, the benchmark for European imports, continued to fall 0.82% to $92.07 a barrel.

Indeed, the “benchmark” West Texas Intermediate (WTI) of the United States lost 1.06% to $85.96 a barrel.

Thus, oil reversed the gains made on Monday, after the Organization of the Petroleum Exporting Countries and its allies (OPEC +) announced production cuts of 100,000 barrels per day starting in October.

In the gas market, futures are trading higher, with no reopening in light of Nord Stream and at a time when Norway’s production infrastructure is undergoing maintenance.

The rush to gas storage, and the high flows of natural gas in Europe would keep prices high.

“The European energy sector continues to suffer from high volatility and uncertainty over winter energy storage,” an analyst at Rystad Energy wrote, in a note consulted by Bloomberg.

They also revealed that “in a worst-case scenario, with very cold, low winds and a 15% cut in gas for electricity production, this would be a major challenge to the European power system and could lead to power rationing and blackouts.”

One-month gas futures traded in Amsterdam (TTF) – a benchmark for the European market – rose 2.7% to €246.4 per megawatt-hour.