Oil prices rose by about 3 percent, partially recovering from yesterday’s fall as supply disruptions in Canada and other countries offset growing concerns about record-high US inventories of crude oil.
Estimates Energy Aspects, forest fires in Canada affected the production of about 1.6 million barrels per day, which is more than 1% of the global supply. Canada is a major exporter of oil to the US and Canadian production decline may reduce the amount of oil in the US stores, which will be a positive factor for the oil market. Also today, the media reported a series of attacks on oil infrastructure in Nigeria. Against the background of this production the largest producer of oil in Africa, close to 22-year low.
However, experts say that the world’s oil reserves are near record highs, and some supply disruptions little that this will change, as the decline in production in some OPEC countries offset by growth of exports from Iran and nearly a record oil production in Saudi Arabia and Russia .
Supply disruptions overshadowed concerns about crude oil reserves in the US, which is expected to have grown by the end of the fifth week, and reached a record high above 543 million. Barrels. Genscape Yesterday the company reported an increase in stocks at Cushing terminal by 1.4 million barrels last week. If this information is confirmed, when the US Department of Energy will publish its data on stocks, it will exacerbate the problem of oversupply in the oil market.
“I think we are still in a bull market, but I also think that the” headwinds “strengthened” – said Scott Shelton, an energy broker ICAP.
WTI for delivery in June rose to $44.38 a barrel. Brent for June rose to $45.28 a barrel.
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