“The main factors driving prices are generally positive market sentiment as concerns about Ómicron wane and expectations for continued and dynamic economic development.“Commerzbank said.
Oil prices rose more than 50% in 2021 and some analysts expect this trend to continue this year, forecasting that a lack of production capacity and limited investment could lift crude to $ 90 or even more than $ 100 per year. barrel.
Further gains were tempered by rising fuel inventories in the United States last week and high inflation in the world’s largest economy. Yesterday, US inflation was known, which reached a maximum in 40 years, reaching 7%. But despite the rebound, it remained in line with the market.
Data from the Energy Information Administration (EIA) showed on Wednesday that fuel demand has been affected by Omicron, with gasoline stocks increasing by 8 million barrels in the week through Jan.7, compared to with analysts’ expectations of an increase of 2.4 million barrels.
US supplies will increase as producers pave the way for increased pumping by completing more wells in the country’s main shale oil field, the Permian Basin of West Texas and New Mexico, according to research data. Concerns persist that inflation will put pressure on the Federal Reserve to accelerate the start of interest rate hikes and are weighing on the markets.
Source From: Ambito
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