Oil prices are about to achieve the ninth consecutive weekly gain

 Oil prices extended their rise with the opening of the US market on Friday to resume the gains that were temporarily halted yesterday as part of corrections from the highest level in several years. Achieve the ninth weekly gain in a row.

 

US crude rose more than 1.0% to the level of $ 83.39, from the opening level at $ 82.54, and recorded the lowest level at $ 81.79, and Brent crude rose by more than 1.1% to the level of $ 85.52 a barrel, from the opening level at $ 84.56, and recorded the lowest level at $83.84.

 

When prices settled on Thursday, US crude lost 1.1%, in the first loss in the last three days, due to correction and profit-taking operations, after it recorded earlier in trading, the highest level in seven years at $ 83.93 a barrel, and Brent crude fell by 1.3 % after hitting the highest level of $86.08 since October 2018.

 

In addition to corrections and profit taking, oil prices fell yesterday after the decline in natural gas and coal prices, whose rise was one of the reasons for the recent broad rise in international oil prices.

 

Oil prices resumed gains on Friday thanks to hopes for an acceleration in global demand, particularly demand in the United States, especially after the sudden drop in commercial crude stocks last week.

 

The US Energy Agency announced on Wednesday that commercial stocks in the country decreased by about 0.4 million barrels, during the week ending October 15, in the first weekly decline in a month, contrary to the expectations of experts, a rise of about 2.1 million barrels.

 

The decline in commercial crude stocks in the United States is a positive sign about improving demand and withdrawal levels in the world's largest fuel consumer.

 

As for US production, it decreased last week by about 100,000 barrels per day, the first weekly decline in a month and a half, bringing the total production down to 11.3 million barrels.

 

On the level of this week's entire trading, international oil prices achieved an average increase of 0.75%, on the verge of achieving the ninth consecutive weekly gain, thanks to expectations of a widening supply deficit during the last quarter of this year.