This week, oil prices reached their highest level of the year, extending a run that has brought a return to $100 per barrel into striking view. Indeed, some analysts anticipate crude prices will reach this level by the end of the year. Brent oil futures were 0.3% down at $93.46 a barrel in London on Friday …
This week, oil prices reached their highest level of the year, extending a run that has brought a return to $100 per barrel into striking view. Indeed, some analysts anticipate crude prices will reach this level by the end of the year.
Brent oil futures were 0.3% down at $93.46 a barrel in London on Friday afternoon, while West Texas Intermediate futures were little changed at $90.09.
On Thursday, Brent and WTI settled at their highest prices of the year. Oil futures are up significantly month to date and are on course for their third straight positive week.
The price increase coincides with rising predictions of tighter supply, after Saudi Arabia and Russia’s moves to reduce global stocks and prolong their oil output cutbacks until the end of the year.
OPEC leader Saudi Arabia said on September 5 that it will extend its 1 million barrel per day production reduction until the end of the year, while non-OPEC leader Russia pledged to decrease oil exports by 300,000 barrels per day until the end of the year. Both nations have said that their voluntary reduction would be reviewed on a monthly basis.
Bank of America analysts have stated that they now expect oil prices will soon rise beyond $100.
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