As crude oil futures slump, Saudi Arabia cuts oil prices in Asia markets

Saudi Arabia has cut oil prices in its Asia market after the futures slumped amid the weakening energy market. The Brent & WTI futures drop is triggered by a falling US economy, its unstable banks and China's demand fall.

As per Bloomberg, State-controlled Saudi Aramco cut all official selling prices for Asia in June. The company’s key Arab Light grade was reduced to $2.55 a barrel above the regional benchmark, 25 cents less than the price for this month.

60% of Aramco's crude shipment is sold to Asia. Most of these sales are under long-term contracts and the pricing is reviewed every month. The biggest buyers of Aramco's crude are China, Japan, South Korea and India. Meanwhile, the company has raised prices for Europe and didn't change any US grades.

Earlier last month, the OPEC+ group led by Saudi Arabia decided to cut production by more than 1 million barrels a day, calling it a precautionary measure to stabilize the market. The next OPEC+ meeting is scheduled to be held on 3rd and 4th June.