Oil prices continue to fall after report from US

Baku. 4 May. REPORT.AZ/ Brent crude oil price, has continued to fall after the announcement of the official report.by Energy Information Agency (EIA) of US Department of Energy.

Report informs citing the Investing.ru, as a result of report released on May 3, US oil reserves decreased by 0.93 mln barrels during April 20-26 week. It was less than the forecast of analysts. Thus, analysts forecasted decline in the US oil reserves by 2.33 mln barrels. Decline in inventories less than expected caused the fall in Brent crude oil price down to 50.2 USD/barrel. Currently, Brent crude oil at 50,45 USD/barrel level can fall to 48 USD/barrel soon.

OPEC and non-member countries are expected to extend Vienna agreement on production cut at next meeting on May 25. Therefore, oil prices fell further and getting ready for a new "rally". However, in order to exceed 60 USD/barrel level market needs a stronger news than extension of Vienna agreement. Otherwise, oil prices after reaching 58-60 USD/barrel level, will make a U-turn.