Crude oil futures rose on Monday on prospects that OPEC+ deepen supply cuts to support prices that fell for four weeks on concerns about demand and supply disruption in Middle East due to the conflict between Israel and Hamas.
The futures of Brent crude oil They earned 34 cents, at $80.95 a barrel, and the West Texas Intermediate In the United States (WTI) it advanced 31 cents, to 76.20 dollars. The current December WTI contract expires on Monday, while more active January futures improved 38 cents to $76.42.
Both contracts rose 4% on Friday, after three sources in the OPEC+ They told Reuters that the group of producers, formed by the Organization of the Petroleum Exporting Countries (OPEC) and allies such as Russiawill study the possibility of making further supply cuts at its meeting on November 26.
Oil prices have fallen nearly 20% since late September, while month-on-month spreads for Brent and WTI entered contango last week. In a contango market, immediate prices are lower than those in future months, indicating that there is sufficient supply.
“In light of the removal of the bulls from the Petroleum Last week, some kind of response was expected from the (OPEC) producer group,” said Tamas Varga of the PVM brokerage. “If additional cuts are agreed, a short-term price boost is expected, but its impact on long-term prices seems doubtful, as compliance and adherence will be the overriding issue,” he added.
Investors are also watching Russian crude oil trade after Washington imposed sanctions on three vessels that have shipped Sokol crude to India.
Source: Ambito
