Oil increasing in price, despite increased inventory in the U.S.

Oil increasing in price, despite increased inventory in the U.S.


The U.S. Department of energy reported that commercial oil reserves in the country (excluding strategic reserves) for the week ended October 30, rose to 2,847 million barrels, while oil production increased by 0.5%.

MOSCOW, 6 Nov. World oil prices on Friday show a positive trend, despite the growth stocks in the United States; experts predict a decrease in the cost of “black gold”, according to AFP.

As at 07.38 GMT the cost of December futures for North sea petroleum mix of mark Brent has grown on 0,33% — to 48,27 per barrel. The price of December futures for oil of mark WTI has grown on 0,61% — to 45,48 USD per barrel.

According to the U.S. Department of energy, commercial oil reserves in the country (excluding strategic reserves) for the week ended October 30, rose to 2,847 million barrels, or 0.6%, to 482,8 million barrels. Oil production grew by 0.5% or 48 thousand barrels per day, up to 9,16 million barrels.

Analysts say the glut will be to put pressure on the oil markets. “Oil prices will remain under pressure as long as the excess remains in the market”, — quotes Agency Reuters analysts of the French investment Bank Natixis.

In addition, investors are awaiting a regular meeting of the Organization of countries-exporters of oil, which will take place on 4 December. The cartel plans to discuss policies in the field of mining. OPEC not reducing production, despite the plunge in world oil prices to preserve market share, while Saudi Arabia holds the level of oil production is almost at a record level.