Gasoline price today (September 2): Long slide

World oil prices

According to Dailyfx, at 5:30 a.m. on September 2 (Vietnam time), Brent and WTI oil prices extended the decline of the last trading session of last week.

Oil prices started the new week in the red. Illustration photo: Reuters

Last week, both Brent and WTI recorded their second consecutive weekly decline, with Brent down 0.3% and WTI down 1.7%. Both benchmarks slipped further below $80 a barrel.

The volatility of oil prices last week was influenced by the main factors of reduced oil production in Libya, the possibility of Iraq cutting production, tensions in the Middle East, continued decline in US oil inventories, and strong consumer spending in the US.

In the past 5 trading sessions, oil prices increased in 2 sessions and decreased in 3 sessions. Although there were strong increases in the first and fourth trading sessions of the week, the sharp declines in the second, third and fifth sessions caused oil prices to experience another week of “downhill”.

According to Oilprice, the eastern Benghazi government has stopped production at key oilfields such as Sharara, Sarir, Abu Attifel and Amal, and blocked most of the country’s export ports. This means that more than half of Libya’s crude oil production, about 700,000 barrels, has not been produced per day. Many analysts believe that Libya will “lose” about 1 million barrels per day of the total 1.2 million barrels that the country produces per day due to the internal instability, and it is very difficult for Libya to restore production soon.

Also on the supply side, Iraq, a member of OPEC+, will cut production to between 3.85 million and 3.9 million barrels per day, after producing around 4.25 million barrels per day in July.