Oil Price falls as Iran Rejects output Freeze Deal

 

Oil Prices have fallen by nearly 3% after Iran put off plans to join nations proposing a freeze on production.

Oil minister Bijan Zanganeh said Iran would only join discussions to cap output after its production reached four million barrels per day. 

In February, Saudi Arabia struck a deal with Russia and other Opec nations to freeze oil output at January levels.

But Iran wants production to hit pre-sanction levels before beginning talks.

Bank of England: Oil price fall 'good for UK economy'

The fall in oil prices has been a "net good" for the economy, Bank of England deputy governor Ben Broadbent has said.

 

He told BBC Radio 5live's Wake Up To Money that falling oil prices had helped to push up wages in real terms.

Mr Broadbent also said the UK was enjoying a "solid" recovery but he added there was "no great urgency" to put up interest rates. 

Oil prices have fallen by 75% since mid-2014, due to an oversupply and sluggish demand.

Stock Markets Worldwide tumbled amid Oil Price

On Wall Street the Dow Jones and S&P 500 were 2% lower in early trading, while the Nasdaq fell 2.3%.

The FTSE 100, Germany's Dax and the Cac 40 in Paris are all trading about 2.5% lower - resuming the year's sell-off.

Many markets are now in so called "bear market" territory - a fall of 20% or more from their most recent peak.

Iran Western Sanctions Lifted, Oversupply Problem, as Oil Price Falls below $28 a Barrel.

 

The oil price has fallen below $28 a barrel amid fears the lifting of Western sanctions on Iran could worsen the existing oversupply problem.

Brent crude, used as an international benchmark, fell as low as $27.67 a barrel, its lowest since 2003, before recovering slightly to trade at $28.17.

Oil prices fall below $30 as end of Iran oil ban nears

It comes as concern grows that Iran could restart oil exports flooding a market already under intense pressure from global oversupply and weak demand.

Brent crude fell more than 4.5% to $29.46 and US West Texas intermediate oil fell to $29.47

 

Iran could restart exports if the International Atomic Energy Agency (IAEA) reports it has complied with measures to curb its nuclear programme.

The IAEA could publish its report as early as Friday, following a meeting in Vienna.

Iran has the fourth largest proven oil reserves in the world, according to the US Energy

US Oil Price Tumbles to Below $33

Brent crude fell 4.7% while US West Texas Intermediate was down 3.9%.

 

For US oil, that was its lowest point since touching $32.40 in December 2008 during the global financial crisis.

But the price of Brent crude was seen falling to fresh 11-year lows. The last time Brent was so low was April 2004.