The crude oil price, at least shown by two primary
benchmarks – WTI and Brent – has dropped today, finally being subject to the
uncontrollable rate of infections of the Coronavirus across the globe despite
the heightened enthusiasm about the vaccinations.
The arrival of Mr Joe Biden to the White House in
order to take the reins of the most powerful nation on the planet did not
create the desired effect, dreamed of by the markets.
Some benchmarks, however, such as OPEC Basket and
Indian Basket are slightly up, buckling the trend.
Both WTI and Brent, on the other hand, showed their mutual closeness in
following the trend in oil price once again, when some charts give out
conflicting signals; it has been the pattern during both good times and bad times.
Since the Western political thinking is inextricably
linked to the two benchmarks in question, their behaviour in understandable in
this context without using one’s grey matter.
The Dubai benchmark, meanwhile, is also up despite
being a primary benchmark. It means the region is optimistic about the revival
of oil price being irreversible due to the production cuts initiated by the
OPEC and boosted by Saudi Arabia.
