WTI crude oil is rising on renewed geopolitical concerns

WTI crude oil is rising on renewed geopolitical concerns


The cost of the January futures for North sea Brent blend has grown on 0,62% – to 44.8 dollars per barrel, the price of December futures for light WTI oil – on 3,31%, to 42,09 per barrel.

MOSCOW, 16 Nov. Oil prices Monday resumed their growth, WTI crude oil is rising by more than 3% on geopolitical concerns after the terrorist attacks in Paris, according to AFP.

As at 22.10 GMT the price of January futures for North sea Brent blend has grown on 0,57% — to 44,73 USD per barrel. The price of December futures for light WTI oil increased by 2.9% to 41,92 dollars per barrel, however, previously it was growing by more than 3%, to 42.25 dollars per barrel.

Friday night in Paris there was a series of terrorist attacks. Unknown opened fire at one of the restaurants, three explosions were heard in the vicinity of the stadium “Stade de France”, where was held a friendly match the football teams of France and Germany, and attended by French President Francois Hollande. In addition, at a rock concert at the “Bataclan”, the unknown took hostages. According to the latest data, has killed about 130 people. Hollande announced the introduction in the country of state of emergency and intensified monitoring of the crossing of the state border.

According to the Ministry of defense of France, French air force dealt a massive blow on positions of grouping “Islamic state” (IG) in the capital of the ar Raqqah city in Syria. Investors due to the bombing in fear of supply disruptions of oil.

“With the beginning of the war France, in pictures the remainder of the week may show a slight increase,” — said the Agency France Presse, the analyst Phillip Futures Daniel Ang (Daniel Ang). He noted that prices cannot rise owing to the ongoing oversupply in the market.

“The rising prices fuelled by geopolitical tensions, but only in the short term. In the long term the main driver of prices will be the global demand and supply, and given the glut in the market prices will be harder to rise in the future,” he added.