Oil prices rise to $79.18/bbl
Trading at multi-month high levels over falling US inventories, rising demand
image for illustrative purpose
New Delhi: The start of the week has brought fresh gains for the crude market as oil has rallied on signs of a tightening market amid a global energy crunch.
West Texas Intermediate or WTI for November delivery advanced 1.5 per cent to $75.07 a barrel on the New York Mercantile Exchange, while Brent for November settlement added 1.4 per cent to $79.18 a barrel on the ICE Futures Europe exchange.
Crude oil futures increased on Monday over dwindling inventories with US stockpiles near a three-year low, while demand picking up rapidly post the pandemic waves and projections suggesting that it would be stronger than expected in the near term.
Disruptions in the US Gulf Coast production following Hurricane Ida and other storms have led to sharp draws in the American and global inventories. Global crude prices have gained almost 80 per cent level in last one year and more than 45 per cent in first six months of 2021. At the current $79 a barrel, Brent crude is already at multiple month high and set to breach two and half year high rate of $80 a barrel soon.es, according to PPAC.
