XBR/USD CFD Trading
XBR/USD Live Charts
Use our XBR/USD chart to get the most up-to-date insight into the recent performance of this pair. It can help you make informed decisions at home or on the go – no matter if you use the TickTrader desktop platform, web terminal, or mobile app. Our real-time chart includes the very latest price, historical data, and technical analysis tools to help guide your next trade.
What Is XBR/USD CFD Trading?
XBR/USD trading refers to the trading of Brent crude oil against the US dollar on financial markets. Brent is a type of sweet crude oil that is used as a major trading benchmark for global prices. The United States dollar is the world's primary reserve currency and is widely used in international trade and finance.
XBR/USD CFD trading means that traders buy and sell contracts or derivatives that derive their value from the price of Brent crude oil quoted in US dollars. The XBR/USD rate reflects how many US dollars are needed to pay for a barrel of Brent crude oil on a spot market.
At FXOpen, you can trade XBR/USD and other commodity CFDs with leverage of up to 1:20, deep liquidity, tight spreads, and high speed of order execution.
XBR/USD Historical Performance
During the period of 2010-2014, the price of Brent crude oil generally experienced an upward trend, ranging from approximately $90 to $120 per barrel. Various factors, including strong global demand, geopolitical tensions in the Middle East, and supply disruptions, contributed to this increase.
In the second half of 2014, the market entered a period of significant decline. By early 2016, its value had dropped to around $30 to $35 per barrel. Oversupply, primarily driven by increased production from OPEC and non-OPEC countries, led to this sharp downtrend.
The market gradually began to recover between 2016 and 2018. OPEC and non-OPEC countries implemented production cuts to reduce oversupply, which contributed to a stabilisation of prices. The market fluctuated between approximately $45 and $80 per barrel.
In early 2020, the COVID-19 pandemic triggered a significant drop in demand as lockdowns and travel restrictions were implemented globally. This led to a sharp market decline, with Brent trading around $20 in April 2020.
By the end of 2020, the market had recovered somewhat but was still significantly below pre-pandemic levels. Prices traded in the range of $40 to $50. However, bulls managed to build a strong uptrend so that in May 2022, the market surged to $120. The period of a strong uptrend was replaced with a downtrend in June.
Major Factors That Affect the XBR/USD Pair
The most significant factor influencing oil prices is the balance between global supply and demand. Changes in production levels, inventory levels, and consumption patterns can impact its value.
Geopolitical tensions and conflicts in major oil-producing regions, particularly in the Middle East, can disrupt supply chains and lead to price spikes. Any event that threatens the stability of oil-producing countries can affect the XBR/USD pair.
The Organization of the Petroleum Exporting Countries (OPEC) and its allies, often referred to as OPEC+, have a significant influence on the market. Their decisions regarding production quotas and supply management can impact the XBR/USD pair.
Economic data can provide insights into the health of the global economy. Strong economic growth can drive up oil demand, while economic recessions can lead to reduced consumption and lower Brent prices.
The strength or weakness of the USD can have a direct impact on the XBR/USD forecast. A stronger USD can put downward pressure on the pair, while a weaker USD can lead to higher values, as Brent is priced in USD on international markets.
Government policies and regulations related to energy production and consumption are also important factors. Policies that promote renewable energy sources or energy efficiency may affect long-term oil demand.
Events like the COVID-19 pandemic in 2020 can have a profound impact on oil demand and prices. Unexpected global events or crises can lead to significant price fluctuations in XBR/USD.
