Oil prices fell more than 7% yesterday, to reach their lowest levels since mid-2017, after it was reported that Russia rejects the "OPEC" proposal to deepen oil production cuts, to achieve price stability.
A high-ranking Russian source said that Moscow will not support the call for additional oil production cuts, and will only agree to extend the current cuts implemented by the Organization of Petroleum Exporting Countries (OPEC) and its allies, the group known as "OPEC +".
And Brent crude futures fell more than four dollars to $ 45.6 a barrel, the lowest level since June 2017. US West Texas Intermediate crude fell to its lowest level since August 2016, recording $ 3.41, or 7.4% to $ 42.49.
Those prices are the lowest for Brent since July 2017, and WTI since June 2017. A Middle East source said that OPEC has no intention of making deeper cuts without Russia. And OPEC urges an additional 1.5 million barrels per day until the end of 2020. Sources in the Organization of Petroleum Exporting Countries (OPEC) confirmed Russia's position, and the official meeting of "OPEC +" was held after hours of delay.
To that, two sources said «OPEC» that the organization, and producers who are not members of it, failed to agree to extend existing production cuts.
Sources had said, earlier, that OPEC and independent producers had failed to agree additional cuts to counter the outbreak of the Corona virus.
Oil prices continued to lose their losses due to the news, to be traded as low as 6%.
Moscow does not support the call for additional oil production cuts.