Categories: Economy

Oil prices are at their highest level in the last year

Oil prices are at their highest level in the last year

Oil prices rose again to their highest levels of the year, boosted by data showing stronger demand in the United States, the world’s largest oil consumer, and concerns about shrinking global supply.

The fact that the world’s largest oil producers, Saudi Arabia and Russia, have cut their oil production until the end of the year, continues to support the rise in prices by increasing expectations that there will be supply shortages in the markets in the next years. months.

The price of a barrel of Brent oil, which rose to $94.80 yesterday, ended the day at $94.36. The price of a barrel of Brent oil increased 0.53 percent compared to today’s close at 09:11, reaching $94.86. At the same time, West Texas Intermediate (WTI) crude oil sold at $94.36 per barrel.

CONCERNS THAT THE SUPPLY AND DEMAND GAP WILL INCREASE

Another piece of data supporting concerns that the deficit in the balance between supply and demand will gradually increase came from the US Energy Information Administration (IEA). The IEA announced that commercial crude oil stocks in the country decreased by approximately 2 million 200 thousand barrels last week to 416 million 300 thousand barrels. The market expectation was that inventories would increase by 1 million 586 thousand barrels.

Positive economic data in China, the world’s largest oil importer, reinforces expectations that demand will increase in the country, supporting the upward movement in prices. The week-long autumn festival holiday will begin in the country tomorrow. There is expected to be an increase in the number of travelers and fuel demand due to the holiday.

It is stated that technically the range between $95.07 and $95.14 for Brent oil can be considered as resistance, and the range between $94.79 and $94.72 as support zone.

$100 LOOKS INEVITABLE

Oil approached $100 a barrel as stocks at Cushing, the delivery point for the U.S. benchmark, fell to critical levels, indicating the global deficit was widening.

West Texas Intermediate (WTI) crude oil briefly rose above $95 a barrel for the first time in more than a year, after posting its biggest gain since early May, up 3.6 percent on Wednesday.

Earlier this month, OPEC predicted a crude oil deficit of up to 3 million barrels per day in the fourth quarter. With demand in the United States and China remaining resilient, many in the market see $100 oil as inevitable, even as the dollar rises and concerns about rising global interest rates persist.

While $100 predictions rise by the day, ING Groep NV chief commodity strategist Warren Patterson said it is only a matter of time before Brent breaks $100 a barrel, but this breakout is not It will be permanent.

“It’s only a matter of time before Brent breaks $100 a barrel,” Patterson said. “However, we believe any breakout will be relatively short-lived, given growing pressure on OPEC+ to ease supply cuts.” (SÖZCÜ-AA)

Source: Sozcu

Share
Published by
Andrew

Recent Posts

Miss Switzerland candidate accuses Trump of sexual assault

A former Miss Switzerland candidate is accusing Donald Trump of “bumping” her at a meeting…

6 months ago

10 fun facts about Italian classics – or did they come from China?

Friday is pasta day—at least today. Because October 17th is World Pasta Day. It was…

6 months ago

Lonely Planet recommends Valais for travelers

The Lonely Planet guide recommends Valais as a tourist destination next year. The mountain canton…

6 months ago

Lonely Planet recommends Valais for travelers

The Lonely Planet guide recommends Valais as a tourist destination next year. The mountain canton…

6 months ago

Kamala Harris enters media ‘enemy territory’ – that’s what she did at Fox

Kamala Harris gave an interview to the American television channel Fox News, which was not…

6 months ago

One Direction singer Liam Payne (31) died in Buenos Aires

The British musician attended the concert of his former bandmate in Buenos Aires. The trip…

6 months ago