The price of oil fell by 12% over the past week and continues to fall today. The main reason for this is the increased negotiations between the United States and Iran on peace issues in the Persian Gulf. Against this background, even an increase in oil purchases by China did not contribute to the price increase. China finally stopped dumping supply into its market, with demand up 1 million bp in November from October and up 3 million bp from the summer low.
More and more western experts claim that the establishment of peace in the region may lead to an oil price of about 80 dollars per barrel. At first glance, this may seem like bad news for Russia, but on closer analysis, the situation does not seem so bad as it will reduce the amount of payments to Russian oil companies. At $80 per barrel, the oil budget revenue could be even higher than $100 per barrel.