Oil prices are falling, stock market indices have different trends

Photo – AFP / LETA

Oil prices fell to the lowest levels since last year, triggered by concerns over excess supply of crude oil and weak demand in uncertain economic growth.

Oil prices dropped to its lowest level since October 2017 at a time when crude oil extraction in the United States, Russia and Saudi Arabia remains high and global growth expectations have declined, partly due to the US-China trade dispute.

"It's true that the growing global supply of crude oil combined with the worrying signs of declining demand has spelled out a catastrophe in oil markets," said FXTM research badyst Lucman Otunuga.

There were different trends in global stock markets. US stock market indices fell, partly driven by concerns over lower oil prices and weak global growth. The London Stock Exchange fell, while the Frankfurt and Paris Stock Exchanges rose modestly.

The drop in oil prices was echoed in stock markets, with prices for oil giants Chevron, Royal Dutch Shell and Total falling by at least 3%.

Oil prices on New York and London exchanges have shrunk.

The euro fell against the US dollar, the British pound against the dollar shrank, while the US dollar depreciated against the Japanese yen.

On the New York Stock Exchange, WTI crude oil prices fell by 4.21 dollars to 50.42 dollars per barrel on Friday. The Brent crude oil price on the London Stock Exchange shrank by $ 3.80 to $ 58.80 a barrel.

The US Dow Jones Industrial Average dropped 0.7% to 24 285.95 points on Friday, Standard & Poor's 500 fell 0.7% to 2632.56 points, while the Nasdaq Composite index fell by 0.5% to 6938.98 points.

The London Stock Exchange FTSE 100 fell by 0.1% to 6952.86 points on Friday, the DAX 30 index rose 0.5% to 11,192.69 points, while the Paris Stock Exchange index CAC 40 increased by 0.2% to 4946 , 95 points.

The euro depreciated against the US dollar from 1.1403 to 1.1331 dollars per euro on Friday, the British Pound depreciated against the dollar from 1.2877 to 1.2805 dollars per pound, while the US dollar depreciated from 112.95 to 112.85 yen per dollar.


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