Oil prices rose to $38.5 after falling to a low of almost seven years


Moscow. December 15. Oil prices rising on Monday, with lows in nearly seven years amid signals that the U.S. may resume unimpeded oil exports for the first time in 40 years, reports Bloomberg.

Quote of the January futures for Brent crude on London’s ICE Futures exchange by 14:10 Moscow time rose to $0,58 (1,5%) – to $38.5 per barrel. Bidding on this contract end on Wednesday, December 16.

Futures price for WTI crude oil for January in electronic trading on the new York Mercantile exchange (NYMEX) rose on Tuesday afternoon on $0,60 (1,6%) to $36,91.

Leaders of the U.S. Congress close to compromise on the complex tax and budget issues, in which it is planned to lift the ban on exporting American oil, a vote on the issue can pass this week.

The largest us energy companies have long sought lifting of the ban that was imposed during the oil embargo of the Arab countries in the 70-ies.

The speaker of the house of representatives Paul Ryan expressed Wednesday optimism, saying that the bill, although the ensuing discussion between the Republicans and Democrats still continue, will be voted already this week.

Citigroup does not exclude the falling prices for WTI crude oil below $30 per barrel to $27-29. According to managing Director ed Morse, this is the level of prices should spur manufacturers to move to reduce production. For Brent would need a price decrease to about $30 per barrel.

The Morse expects that Iran will return to the market in full “much sooner than projected”.

However, Citi confirmed the forecast average annual price of Brent in 2016 at $51 per barrel, WTI – $48 per barrel.