Azeri Light crude sinks

Azeri LT CIF crude oil, exported from Azerbaijan to the world markets, has dropped by $ 0.09 (-0,16%), settling at $ 55.67 per barrel, Report informs.

The lowest price for Azeri Light was recorded on April 21, 2020 ($ 15.81), while the all-time high of $ 149.66 was fixed in July 2008.

Oil in New York was steady as its new year rally stalled with the International Energy Agency saying a “big chunk” of U.S. shale is profitable at current prices, signaling potential over-supply problems ahead.

Futures traded near $52 a barrel after closing little changed on Monday. Many producers will be able to boost production, and U.S. shale will be needed to fill the oil balance gap in the short term, IEA Director Fatih Birol said in a Bloomberg television interview. American crude stockpiles, however, remain at the highest seasonal level in decades after Covid-19 crushed demand.

Since February, crude has paused after climbing to the highest level with a stronger dollar reducing the appeal of commodities priced in the currency and a technical indicator signaling oil is overbought. Worsening China-U.S. relations are also back in the spotlight as the Trump administration nears its end.

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