Business

Oil rises more than $1/bbl after Saudi Arabia rallies

FILE IMAGE: A maze of crude oil pipes and valves pictured during a Department of Energy tour of the Strategic Petroleum Reserve in Freeport
FILE PHOTO: A maze of crude oil pipes and valves is pictured during a Department of Energy tour of the Strategic Petroleum Reserve in Freeport, Texas, U.S. June 9, 2016. REUTERS/Richard Carson

December 6, 2021

By Florence Tan

SINGAPORE (Reuters) – Oil prices rose more than $1 a barrel on Monday after top exporter Saudi Arabia raised the price of crude it sells to Asia and the United States, and as indirect U.S. negotiations and Iran on the resumption of a nuclear deal that appears to have been reached. stuck.

Brent for February delivery rose $1.69, or 2.4%, to $71.57 a barrel by 0033 GMT while West Texas Central American crude for January delivery was at $67.92 a barrel, up 1. .66 USD, equivalent to 2.5%.

On Sunday, Saudi Arabia raised the official January selling price for all crude grades sold to Asia and the United States by 80 cents from the previous month.

The price hike was made despite the decision last week by the Organization of the Petroleum Exporting Countries and its allies including Russia, a group known as OPEC+, to continue to increase supply by 400,000 barrels/ day in January.

Prices also rose as prospects for a reduction in Iran’s oil exports rose after indirect talks between the US and Iran to save the 2015 Iran nuclear deal broke down last week. European officials voiced frustration on Friday at the sweeping demands of Iran’s new, tough government. Negotiations are expected to resume mid-week.

Both benchmarks rebounded after falling last week for the sixth straight week for the first time since November 2018 on concerns that the novel coronavirus variant Omicron could affect global economic growth and demand. fuel demand.

In another sign of turmoil caused by the ever-changing pandemic, the head of the International Monetary Fund said the global lender is likely to reduce its estimate of global economic growth because of variations new.

Omicron has spread to about a third of US states as of Sunday.

(Reporting by Florence Tan; Editing by Stephen Coates)

https://www.oann.com/oil-gains-more-than-1-bbl-after-saudi-price-hike/?utm_source=rss&utm_medium=rss&utm_campaign=oil-gains-more-than-1-bbl-after-saudi-price-hike Oil rises more than $1/bbl after Saudi Arabia rallies

Bobby Allyn

USTimeToday is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – admin@ustimetoday.com. The content will be deleted within 24 hours.

Related Articles

Back to top button