US crude oil prices rose by 7% on Friday, and it seems that fuel demand has strengthened by the help of alleviating globally imposed travel restrictions caused by the coronavirus.
WTI ham petrolü geçen hafta % 19.7 arttı ve Brent ham petrolü ise bir hafta boyunca süren yükseliş haberlerinden sonra% 5.2 yükseldi. Her iki sözleşme de üst üste üçüncü hafta yükseldi.
West Texas Intermediate (WTI) oil settled up $1.87, or 6.8% at $29.43 a barrel, just off the session peak of $29.92, its highest since mid-March. WTI soared 9% in the previous session.
Brent crude settled up $1.37, or 4.4% a barrel at $32.50. Brent rose nearly 7% on Thursday.
Organization of the Petroleum Exporting Countries and other major producers cut production and supply to reduce oil abundance. According to the data, there are signs that demand has increased, while China’s daily crude oil use recovered in April as refineries accelerated their operations.
Despite all, the market is cautious about new infection cases and news from some countries where restrictions are alleviated.
Oil prices rose significantly with the situation being managed well by the International Energy Agency (IEA). IEA expects global crude oil stocks to decrease by approximately 5.5 million barrels (bpd) per day in the second half. It also expects oil demand this year to fall by 8.6 million bpd, smaller by 690,000 bpd than the decline it forecast last month. It expects non-OPEC supply to fall by 3.2 million bpd.
Some sources have raised Brent and WTI estimates by $ 5-6 per barrel for 2020 and $ 16 for a barrel for 2021. They see Brent prices as an average of $ 37 and WTI as an average of $ 33. In 2021, Brent is expected to be $ 53 per barrel, while WTI is projected to be an average of $ 50.
The size of production, associated inventory supply and the speed of all will determine the time lagging in price recovery with the contribution of demand.
OPEC and his allies known as OPEC +, started in May and June, with record production cuts of around 10 million bpd promising to go beyond the commitments of Saudi Arabia, Kuwait, and the UAE.
Also Oman said on Friday that they intend to further reduce production in June.