Oil prices adhere to the decline with the increasing concern about supplies

Oil prices stabilized two days after losses, amid the fear that the possibility of a nuclear deal between the United States and Iran would exacerbate the expected surplus of supplies later this year. The interim “West Texas” ruol was traded near $ 62 a barrel after falling 2.4% on Thursday, which is the largest daily decline this month, while Brent ruol closed below $ 65. President Donald Trump indicated that the United States came closer to an agreement to combat Iran’s core activities. The nuclear deal increases the possibility of an extra limited supplies of Iran, but it will enter a market that has been preparing for a surplus for a while. The International Energy Agency on Thursday confirmed that it expected to exceed the increase in the new supplies, in addition to the yield of production by ‘OPEC+’, the growth of slow demand during the current and next years, leading to a global surplus. Nevertheless, oil will still earn weekly profits for the second week in a row, after prices have jumped as a result of the expectation to increase the demand for calm in the trade conflict between the United States and China, the largest consumers of crude oil. However, prices have fallen by 10% since the beginning of the year due to the double strikes that are in the uncertainty and increase in production by ‘OPEC+’ at a faster rate than expected.