The oil prices climbed by a significant margin on this Wednesday, and this surge was quite surprising for many people in many ways, as this time the trend was reversed, which saw the benchmarks of crude hit their lowest ever points in the last 17 months. The United States along with the Brent crude oil, which is the global benchmark, were up by as much as &%, which is indeed significant. The Brent crude was up by nearly 7.88% in the late trading and on the other hand, the WTI crude increased by as much as 8.58%.
Igor Sechin, the man who is the head of the Russian giant Rosneft and is also one of the closest allies of the Russian President Vladimir Putin recently said on this Wednesday that the drop that is evident, as far as the global crude oil price is concerned, was actually linked majorly to the Federal Reserve which raised the interests by a high margin in the last week. The man also added to it saying that the oil prices were observed by him at nearly $50-53 per barrel, which is expected to be the case next year as well, under a very conservative scenario, according to some of the recent reports.
In this quarter, the prices of crude have fallen significantly, by more than a third, and many things have been affected because of the same. The crude has also been actually caught up in some of the issues which are quite wider when it comes to the financial markets, which includes the shutdown of the U.S. government, along with the higher interest rates, and the trade dispute that is going on between the U.S. and China. The declines were extended by some of the global oil markets which took the crude prices to lowest levels since the month of July last year.