The barrel of oil resumes its rise towards 100 dollars

(Boursier.com) — The barrel of crude is moving forward this weekend, supported by the return of the appetite for risk in the trading rooms for this last session of the quarter and by the plans for a drop in prices. Russian fuel exports. A barrel of WTI (due in November) advances 0.9% to $92.5 on the Nymex while a barrel of Brent from the North Sea gains 0.5% to $96. Futures contracts on the two major global benchmarks are heading towards their biggest quarterly gain since March 2022 due to OPEC+ supply cuts, led by Saudi Arabia and Russia, and extremely low stocks in the UNITED STATES.

Even as traders look warily at the demand outlook, there is little that could hinder crude’s advance toward $100 a barrel, as the cartel forecasts a supply shortfall of 3 million barrels per day next year. quarter and that stocks at the largest American storage center (in Cushing) decreased to almost 3 million barrels per day, falling to critical levels. “Oil intended for short-term deliveries is trading at a significant premium, indicating limited supply,” say the Commerzbank teams cited by ‘Bloomberg’. “At the same time, demand for oil continues to grow. This tends to tighten the oil market, as evidenced by falling inventories.”

To make matters worse, China’s Golden Week holiday, which runs until next Friday, is expected to boost crude consumption in the country as more people travel and fly. “An increase in international travel during the Golden Week holiday will boost Chinese oil demand,” point out ANZ analysts. Domestic travel is also expected to boost demand, with data from the Umetrip app showing the average number of daily flights booked is a fifth higher than during Golden Week 2019, pre-Covid.

In Russia, Energy Minister Nikolai Shulginov said Thursday that the ban on fuel exports “will not be lifted soon” and will remain in place until the domestic market stabilizes, reported the Russian news agency ‘Tass’. Nikolai Shulginov also estimated that “certain additional measures” could be taken to deal with fuel shortages, according to the press agency.