As of Wednesday morning, the November futures price for North sea Brent blend rose 52,51 dollars per barrel, WTI light crude oil – to 49,38 dollars per barrel.
MOSCOW, 7 Oct. World oil prices extended gains Wednesday amid expectations of market participants of the weakened situation of glut in the oil market, as well as the possible postponement of a rate hike by the Federal reserve system (FRS) the USA, according to AFP.
As at 8.35 MSK price of November futures for North sea Brent blend has grown on 0,65% — to 52,51 dollars per barrel, WTI light crude oil — 1.75% to 49,38 dollars per barrel. Brent oil on Tuesday, breaking the psychological value of 50 dollars per barrel, rose by 5,11%, increasing the cost of a barrel of WTI reached 4,69%.
The OPEC Secretary General Abdullah al-Badri said Tuesday that experts of the countries-members of the organization and States outside OPEC, including Russia, 21 October, to hold a meeting to discuss global oil prices. Al-Badri noted that the meeting will be technical in nature, and the participation of Ministers from the countries-oil producers is not expected.
In addition, according to the U.S. Department of energy, September crude oil production in the country decreased by 120 thousand barrels per day compared with August. The Ministry of energy of the country also predicts the decline in production in the country by the end of 2016 year to 8.9 million barrels of oil per day expected in 2015 to 9.2 million barrels.
Investor expectations that the U.S. Federal reserve will soon raise interest rate in the country due to the weakness of the global economy also support the price of “black gold”, experts say. “We no more expect an increase (rate — ed.) until the first quarter of 2016. Although even then the increase might not happen”, — quotes Agency France Presse words DBS Bank analysts.
The IMF on Tuesday published a review World Economic Outlook, which forecasts world GDP growth for 2015 and 2016 has been downgraded by 0.2 percentage points to 3.1% and 3.6% respectively. “It’s no secret that the IMF wants the fed delayed the rate hike until next year, and clearly expressed opinions increasingly leaning in this direction”, — quotes Agency the words of strategist at IG Asia Pte in Singapore Bernard AU (Bernard Aw).