Oil prices soared on Wednesday, with the hopes of OPEC and its allies would delay the planned increase in oil production, and Pfizer’s statement that the COVID-19 vaccine was more effective than thought.
Brent crude rose 82 cents, or 1.9%, to $44.57 a barrel by 1211 GMT, while West Texas Intermediate (WTI) crude gained 76 cents, or 1.8%, to $42.92.
Both contracts rose by about $ 1 after Pfizer Inc announced on Wednesday that the final results of the vaccine’s final stage trial showed 95% effective. Last week, the effectiveness was said to be over 90%.
Moderna Inc said Monday that preliminary data for their vaccine also showed it was almost 95% effective.
In order to combat weaker energy demand in the second wave of the epidemic, Saudi Arabia has invited other members of the OPEC + group to be flexible in meeting market needs and ready to compromise on production cuts.
OPEC + met on Tuesday, but did not make an official recommendation prior to the group’s ministerial meeting on November 30-December 1.
Sources said a possible delay of three or six months is under consideration, as OPEC + members tend to delay a plan to increase production by 2 million barrels per day (bpd) in January.