The price of oil collapsed by more than 5% yesterday. Brent dropped below $88 per barrel, the last time such level was observed in early February.

According to Yaroslav Kabakov, Chief Strategy Officer at Finam, as reported by RBC, oil prices will fall due to a slowdown in the global economy and GDP growth in China. In addition, in his opinion, the pressure on the quotes will be given by the tightening of monetary policy by the Fed and the European Central Bank, in particular, by raising their interest rates.

However, according to Maxim Kanischev, director of the Anselm Research Center, as reported by RIA Novosti, the observed drop in prices below April levels reflects confidence in the victory of political decisions over the economy. Nevertheless, quotes will soon return to growth and win back the fall, he said in an interview with the publication, noting that the economy always triumphs over politics. He also pointed out that after the G7 countries introduced restrictions on the price of Russian oil there were forecasts of price growth up to $400 per barrel.