Oil prices plummeted more than 7% overnight!

1.
Saudi Arabia announced a sharp cut in the official price of crude oil!

Recently, Saudi Arabia announced the official selling price of crude oil.
Its state-owned company, Saudi Aramco, lowered the official selling price of its Arabian Light crude oil sold to Asia from a premium of $9.
35 per barrel over the average price in Oman and Dubai to a premium of $4.
4 per barrel, a decrease of 4.
95 from the previous month.
USD/barrel
.
This is the first time Saudi Arabia has lowered oil prices in four months, which does not rule out Saudi Arabia's vigilance against the recent sharp drop in Russian spot crude oil prices
.
Under the impact of Russian crude oil, oil-producing countries in the Middle East may be forced to cut their official selling prices one after another to stabilize customer demand
.

At the same time, Saudi Aramco also cut prices for sales to Northwest Europe and the Mediterranean region
.

Second, the EU's ban on Russian crude oil "abort"!

The European Union has shelved plans to ban imports of Russian crude after failing to reach an agreement with key partners to impose sanctions, according to the Financial Times
.
According to sources, the plan was shelved due to intensive lobbying by Malta and Greece
.
In addition, member states raised the issue that an effective ban should involve other countries such as the United States and the United Kingdom, especially the United States to exert influence on countries such as Liberia, the Marshall Islands and Panama
.
——The cold winter in Europe has a rigid demand for heating, and due to the concept of "environmental protection", many households do not have fireplaces, and natural gas or oil-to-gas heating is almost the only solution; and in the chemical industry, Russian energy also has the same ability.
irreplaceable position
.
Therefore, when there is no way to ensure a unified embargo, it is difficult for the relevant countries to make the final decision of "self-harming eight hundred"
.

The current European Commission intends to change the "embargo" to "prohibit European companies from providing insurance for tankers carrying Russian oil", hoping to rely on it to limit Russia's crude oil transportation capacity
.

Affected by the concerns of the Fed raising interest rates and Saudi Arabia's lowering of crude oil prices for customers in Asia and Europe, international crude oil prices plummeted.
As of the close of May 9, the June contract price of NYMEX crude oil futures fell by 6.
76%, and the price fell to US$102.
35/barrel; ICE Brent crude futures for July contract fell 6.
19% to $105.
43 a barrel
.

On May 10, the main contract of WTI crude oil has fallen by more than 8% since yesterday, and the intraday low was as low as 104 US dollars per barrel
.

I believe everyone still remembers that in 2020, when Saudi Arabia and Russia started a crude oil price war, everyone witnessed the historical moment of negative oil prices
.
In 2022, with the ban on Russian oil + high global inflation, where will this round of crude oil war go? It deserves our continued attention
.