On one hand, Russia is giving discount after discount on its crude oil. On the other hand, the Middle East is also not behind. Saudi Arabia has shaken the whole world with its discount plan. According to Bloomberg report, Saudi Arabia has announced huge discounts on its crude oil to Asian countries. This means that the Middle East country reduced the prices of crude oil for Asian countries. After which Saudi Arabian oil prices for Asian countries have reached the lowest level of 2020. The special thing is that Saudi Arabia has reduced the prices of crude oil for the fourth consecutive month. Let us also tell you what kind of announcement has been made by Saudi Arabia regarding the prices of crude oil.
Saudi Arabia has cut the price of its main oil grades for buyers in Asia for the fourth consecutive month. After which the prices of crude oil in the Middle East have come to a lower level after 2020. This means that there is more supply than demand in the international market. Due to which a reduction is being seen in the prices of crude oil. State oil producer Saudi Aramco has cut the price of its Arab Light grade for March by 30 cents per barrel to bring it in line with the regional standard, according to a price list seen by Bloomberg. This has brought the price of Saudi Arabia's most abundantly available crude oil mix to its lowest level since the end of 2020.
Still, Aramco's cut is not as deep as buyers had hoped, and is less than the most modest cuts estimated in a survey of refiners and traders. This is a sign that Saudi Arabia is confident in demand for its oil and Aramco Chief Executive Officer Amin Nasser has previously said that fears of oversupply are being exaggerated. At present, the price of Brent crude oil is at $ 68.05 per barrel with an increase of 0.74 percent. Whereas the price of American crude oil is 0.41 percent higher at $ 63.55 per barrel.
Saudi Arabia's monthly crude oil pricing is closely watched by traders around the world, as it sets trends for other sellers in the world's top producing regions. Asia is the Middle East's largest market for crude oil, and the prices set for refiners determine the profitability of processing and influence the cost of fuels such as gasoline and diesel around the world. Aramco cut prices of its Arab medium and Arab heavy crude oil to Asia to the lowest level since mid-2020, while increasing prices of extra light and super light blends.
