Crude oil prices rebounded above $112!!!
06.12.2014
The Oil prices continue trading near the highest level in three months
In fact, US crude oil rose to $106.15
per barrel, while Brent crude
rose to $ 112.10 a barrel, the highest price since
the beginning of March.
The main factors that
pushed the oil higher are the following.
- U.S. inventories :
The American Petroleum Institute
weekly report showed on Tuesday that crude supplies rose 1.5 million barrels,
while on Wednesday; the U.S.
Energy Information Administration said crude stockpiles fell 2.6 million
barrels for the week ended June 6th 2014.
- OPEC meeting :
The member states of the
Organization of Petroleum Exporting Countries (OPEC) met yesterday in Vienna , the
Australian capitol, and decided to keep
the production target unchanged and to maintain the output ceiling at 30
millions barrels per day.
In addition, “Ali Al Naimi” Minister
of Petroleum and Mineral Resources in Saudi Arabia, which is considered
the top producer of oil in OPEC, has claimed yesterday that there is no need to
change or increase the production since the supply is highly sufficient.
- Rising tensions in Iraq :
Brent crude surged above $ 111 a barrel on Thursday amid fears that
the escalating violence in Iraq could disrupt oil
supplies and prices received further
support from the unexpected withdrawal of U.S. crude stocks.
During this period the demand for the black gold has
increased significantly, encouraging the traders to turn again to invest in commodities,
but are the investors taking advantages of this oil bull market, to prepare for
the next phase of the bear market??
