FX.co ★ Tripoli assault pushes oil prices down

Prices on Brent oil with supplies in the next month dropped in the morning August 22 by USD 2.37 and equaled USD 106.25 per barrel. As Agence France-Presse says that investors have been selling contracts as Libyan rebels took control over all Tripoli. Prices on American WTI oil changed by mere 25 cent: they dipped to USD 82.01 per barrel.
Earlier The Wall Street Journal informed that the victory of the rebels will significantly affect the oil prices. The point is that Arabian Gulf Oil company controlled by the rebels promised to start exporting oil (180 000 barrels a day) to Europe within two weeks. Libya also stated that it will increase the volume of exported oil to 500 000 barrels a day during two months.
It was the situation in Libya in early 2011 that caused the prices on European oil to rise well above USD 100 per barrel. Nevertheless, the cost of hydrocarbons has been lately decreasing owing to concerns regarding growing global economy amid the European debt crisis and slower pace of the US GDP gain.
In August 2011 OPEC downgraded its forecast on oil consumption in 2011 from 88.18 to 88.14 mnl. barrels a day. According to the plans of this organization, in 2012 oil consumption is to constitute 89.44 mln. barrels, not 89.5 mln.
The assault on Tripoli broke out August 20 at night. As preliminary data shows, the military operation arranged by NATO took lives of over 1.3 thousand people.