© Archyde.com. Total oil refinery in France – Photo from Archyde.com archive.
LONDON (Archyde.com) – They rose nearly 3 percent on Friday, following US gasoline prices hit an all-time high, and amid fears of a further decline in supplies if the European Union imposes an embargo on Russian oil following Moscow this week imposed sanctions on European units of the company. Russian state-owned Gazprom.
Earlier this week, concerns regarding inflation, the rise of the US and slowing global growth due to China’s COVID-19 lockdown and Russia’s invasion of Ukraine were dominated by oil, limiting oil gains.
Crude futures rose $3.33, or 3.1 percent, to $110.78 a barrel by 1510 GMT. US West Texas Intermediate crude futures rose $3.66, or 3.5 percent, to $109.79 a barrel.
And US crude contracts are heading towards the highest closing level since March 25 and the third weekly increase. While Brent continued on his way to record his first weekly loss in three weeks.
And the market witnessed volatility with the possibility of the European Union imposing a ban on Russian oil supplies, leading to a shortage of supply, and concerns regarding faltering global demand.
Inflation and a sharp rise in interest rates led to the rise of the US dollar to its highest level in 20 years, limiting the gains in oil prices during the week, as the rise of the dollar makes oil more expensive to buy in other currencies.
But analysts continue to focus on a possible European Union embargo on Russian oil following Moscow imposed sanctions this week on European units of state-owned Gazprom and following Ukraine blocked a major gas route.
In the United States, gasoline futures rose to an all-time high, boosting refining margins to their highest since hitting a record in April 2020.
The European Union said that sufficient progress had been made to resume nuclear negotiations with Iran. Analysts said the deal with Iran might add another million barrels of oil supplies to the market per day.
(Prepared by Mustafa Saleh and Rehab Alaa for the Arabic Bulletin)
