Oil prices rise around 2% on Saudi oil production shortfall but post weekly dropas investors question whether the Organization of the Petroleum Exporting Countries (OPEC) has room to significantly increase crude output.
In the meantime, US President Joe Biden visited Jeddah to ask Saudi Arabia to increase its oil production. However, the US does not expect Saudi Arabia to increase oil production immediately and is keeping an eye on the results of the next OPEC+ meeting on August 3, a US official told Archyde.com.
On the other hand, concerns that the US Federal Reserve could opt for a 100 basis point increase in the reference rate led to Brent and WTI shedding more than $5 on Thursday below the closing price of February 23, the day before Russia invaded Ukraine.
However, both contracts recovered losses at the end of the session and continued to rise on Friday.
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Prices of a barrel of Brent and Texas oil today, July 16: how much does it cost and how much is it quoted?
With the market closed, this Saturday, Brent futures are trading at $101.16 per barrel with an increase of 2.08% or $2.06 dollars. Secondly, US West Texas Intermediate (WTI) crude was up $1.81, or 1.89%, trading at $97.59according to OilPrice.comrenowned website that has more than 150 oil indices and mixtures worldwide.
Both benchmarks saw their biggest weekly percentage declines in about a monthlargely due to fears earlier in the week that a looming recession would hit demand.
Brent lost 5.5% in its third weekly drop, while the WTI down 6.9% in its second weekly drop.