At the close of trading on the New York Mercantile Exchange on Tuesday (7 / 6) early this morning seem crude oil prices decreased again (6.7). Oil prices recorded a decline amid fears about the faltering global economic recovery and speculation that OPEC was likely to increase their supply.
New York's main contract, light sweet crude for delivery in July, ending the trading session at 99.01 U.S. dollars per barrel, down 1.21 dollars from Friday's close level. In London, Brent North Sea crude for July delivery dropped 1.36 dollars to settle at 114.48 dollars per barrel.
The market is focused on next Wednesday's meeting in Vienna between the state-nation Organization of Petroleum Exporting Countries (OPEC), cartel of 12 countries which pumps about 40 percent of global supply. Most analysts expect the cartel would maintain production quotas unchanged,
despite the spike in crude oil prices sparked by riots in the Arab world, especially in Libya. But the leaders of OPEC, Saudi Arabia, promising to increase oil production contrary to thewishes of Iran .
Analyst Research Vibiz of Vibiz Consulting estimates that crude oil price movements will still be inclined to follow the direction of the current global economic conditions. Fundamental factors like supply and demand also play an important role in determining price movements. For the current crude oil prices are expected to experience movement in the range of 97-105 dollars per barrel.
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