[Fujitomi] Tokyo oil market sees broad and substantial decline as disappointment selling dominates

（Tokyo crude oil and petroleum products）
On the 26th, Tokyo crude oil and petroleum products fell sharply. As of 11:00, the front-month crude oil contract for October was down 1,850 yen at 353,780 yen, the front-month gasoline contract for November was down 1,620 yen at 48,660 yen, and the front-month kerosene contract for November was down 1,470 yen at 49,010 yen.
Although the OPEC meeting decided to extend production cuts for nine months, they postponed any expansion of the cuts, and it did not become an agenda item. WTI, which had surged to exactly $52 in anticipation of a possible expansion of the cuts, disappointed investors when the expansion did not occur, and it plunged to the $48 level. Considering that Tokyo crude oil was bought aggressively in anticipation of the meeting, this decline is not enough to satisfy the drop. The downside is expected to continue due to a weak physical market. In addition to the United States’ tendency for rising crude stock, releases from strategic reserves are also being watched, and the decline in overseas crude prices is expected to continue.
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