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Report reveals that a Trump tweet addressed to OPEC caused a drop in oil prices

The message from the US president caused that, temporarily, the price of crude oil fell to 55.48 dollars per barrel.

The FreightWaves portal revealed that a Tweet of the US president Donald Trump published on February 25 and addressed to the Organization of Petroleum Exporting Countries (OPEC) caused a temporary drop in the price of crude, as explained in his weekly report on this natural resource published last Saturday.

"Oil prices are rising too much, OPEC, please, relax and take it easy," said the president's message, which added that "the world can not accept a price increase" because it is "fragile".

FreightWaves notes that the American economist Philip Verleger sent his weekly analysis a few hours before the publication of the tenant of the White House and in it he pointed to the "Trump call", which he described as the possibility that, at any time, the US president he tweeted that oil prices were too high and that OPEC was hurting the world economy, which would cause the price of oil to fall. Verleger defined the economic phenomenon in that way because in the options market a 'call' gives the holder the right, but not the obligation, to buy oil at a price lower than the market price.

And said and done. After the publication of Trump the trend rising oil price was reversed and it started to fall, going from $ 57.26 a barrel on Friday, February 22 to $ 55.48 the same day as the US President's tweet. However, as the portal points out, the effect was temporary because prices rose at the end of that week, although they were lower than the previous week.

According to the International Energy Agency (AIE) OPEC production in February this year was 30.83 million barrels per day (b / d). For its part, the consultant JBC Energy estimated that during the past month production fell by 550,000 b / d to reach 30.39 million barrels of crude a day, figures similar to those of Bloomberg. However, until March 11, the exact data of OPEC will not be known.


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