Crude oil price decrease continue

The Crude oil price decrease today in Asian electronic trading. The November futures on the London Brent crude fell 87 cents to 82.91 USD per barrel, passing under the symbolic threshold of 83 USD per barrel. The American WTI light sweet crude for delivery in November also fell quotes in Asian electronic session on the New York Mercantile Exchange by 1.07 USD to 80.71 USD per barrel. So for the last three months the price of Brent crude fell by 24% level of 108.77 USD per barrel. The crude oil market continues to have high supply as the oil cartel OPEC has not responded to the price drop of about 20% from June to reduce production. Meanwhile marketeering development remains unclear, but this may lead to a decrease in demand in the future.

Meanwhile, Kuwait tripled the price of diesel and kerosene, which became the first in the oil-rich country that subsidizes a significant consumer goods and public services. Minister of State for Planning and Development Assistant Hind Sabet said that the prices of diesel and kerosene used as fuel in Kuwait have increased from 0.19 USD to 0.59 USD per liter. It shall not affect the water, electricity and gas, which remains 22 cents cents per liter.

Minister, quoted by the official Kuwaiti agency Kuna, said that the government is considering removing subsidies for kerosene for foreign airlines that operate below 5000 flight to Kuwait a year. Country last year created commission charged to investigate the reduction of subsidies which cost about 18 billion Kuwait. Dollars annually, or one-fifth of the national budget. In April, the Kuwaiti government has warned that the subsidies may lead to a deficit in the budget for the 2017-2018 year. The crude oil Minister Ali al-Omair said that the removal of subsidies for diesel would bring the Treasury 1 billion USD annually.