Global oil prices fall 1%

Global oil prices dropped 1% on March 14 morning, Report informs referring to the auction data.

Traders are fleeing risk en masse amid the bankruptcy of a number of US banks, which increased fears about the impact of the Fed’s monetary policy on the economy.

The price of May futures for Brent crude fell by 1.05% to $79.92 per barrel, April futures for WTI decreased by 1.11% to $73.97.

Global traders prefer not to risk amid problems in the US banking sector. European stock exchanges on March 13 fell by 3%, stock indices in Asia fell by about 2% on March 14, oil and copper fell in price, while gold and bitcoin, on the contrary, rose in price.

A wave of volatility was triggered by the closure in March of a number of US banks - Silvergate, Silicon Valley Bank (SVB) and Signature Bank. The collapse of the SVB was associated with an increase in the discount rate of the US Federal Reserve, which led to the depreciation of assets on the balance sheets of many financial institutions. The US authorities intervened in the situation, announcing support measures.

The publication of the monthly OPEC report is expected on March 14, in which the organization will announce its forecasts for the oil market, including supply and demand.