The oil barrel touches the highest in seven years

The oil barrel touches the highest in seven years

Goldman Sachs said Brent is likely to beat its year-end forecast of $ 90 a barrel.

For his part, Larry Fink, CEO of the world’s largest asset manager, BlackRock, said that “There is a high probability that oil will hit $ 100.”

While China’s coal and power markets cooled after government intervention, Energy prices remain high around the world as temperatures drop with the onset of winter in the Northern Hemisphere.

“Forecasts of a colder November have energy traders preparing for a very tight market that will face unprecedented demand this winter,” said Edward Moya, Senior Market Analyst at OANDA, adding: “This oil market will remain tight and that should mean we are a news item or two away from $ 90 oil.”

Gasoline and distillate consumption in the United States is back in line with the five-year average, after more than a year of depressed demand, and the market will be closely watching inventory levels in the world’s largest economy.

Oil inventories would have increased by 1.7 million barrels last week, while stocks of gasoline and distillates would have fallen.

Avtar Sandu, senior manager of commodities at Phillip Futures in Singapore, said traders are also hoping for clarity on the outcome of talks for the reactivation of the 2015 Iran nuclear deal, after the United States said efforts were in progress. a “crucial phase” that could reopen the way for Iranian crude exports.

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