Sign up to create alerts for Instruments,
Economic Events and content by followed authors
Free Sign Up Already have an account? Sign In
Quotes
All Instrument Types
- All Instrument Types
- Indices
- Equities
- ETFs
- Funds
- Commodities
- Currencies
- Crypto
- Bonds
- Certificates
Please try another search
🚨 Our Pro Data Reveals the True Winner of Earnings Season Access Data
Oil Up, Continues Multiweek Gains as Increasing Fuel Demand Meets Supply Restraint
© Reuters.
By Gina Lee
Investing.com – Oil was up Monday morning in Asia, continuing multiweek gains. Supply restraints from major producers collided with growing fuel demand as economies continue to re-open and recover from COVID-19.
Brent oil futures rose 1.42% to $83.56 by 11:57 PM ET (3:57 AM GMT), after gaining almost 4% last week. WTI futures jumped 1.93% to 80.88, the highest since late 2014. U.S. crude rose 4.6% through Friday. Both Brent and WTI futures were above the $80 mark.
With more populations coming out of lockdown, including Australia’s Sydney which emerged from a 107-day lockdown, fuel demand has increased and driven prices up. Brent futures have risen for five weeks while WTI futures have gained for seven.
Although coal and gas prices have surged as economic recovery from COVID-19 continues, increasing crude oil inventories in the U.S. after recent draws could impact the black liquid.
"We think crude prices will struggle to climb much higher this quarter and still forecast them to gradually drop next year," Capital Economics chief commodities economist Caroline Bain said in a note.
U.S. crude inventories rose for a second straight reporting period, according to data from the American Petroleum Institute and the U.S. Energy Information Administration released during the previous week. The Organization of the Petroleum Exporting Countries and allies (OPEC+) also decided to maintain a steady and gradual increase in production at its meeting last week.
“OPEC’s decision to hold back from a bigger than scheduled increase in output is likely to see the market tighten further in the fourth quarter,” Australia & New Zealand Banking Group (OTC:ANZBY) Ltd. senior commodity strategist Daniel Hynes told Bloomberg.
"The market remains well bid as demand continues to grow,” he added.
Related Articles
Add Chart to Comment
Confirm Block
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.
Report this comment
I feel that this comment is:
Comment flagged
Thank You!
Your report has been sent to our moderators for review
Add a Comment
We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.