Oil price rises after Chinese industrial production increase
Meanwhile, the barrel of WTI crude closed with 2.73% rise to 38.28 dollars and that of Brent in London ended at 40.63 dollars a barrel
Oil prices rose on Tuesday after the growth reached by China’s industrial production and the prospect of hurricanes that threaten the Gulf of Mexico which could also affect demand.
“Expectations about a vaccine against Covid-19 and Hurricane Sally”, which led to the halting of part of the production in the Gulf of Mexico, “prevent a new significant drop in oil prices”, as explained by Tamas Varga, from PVM.
For last October, a barrel of WTI closed higher at 2.73% which is equivalent to $ 38.28 and that of Brent from the North Sea in London culminated at $ 40.63 a barrel, up 2.32%, surpassing the $ 40 mark for the first time in five days. Both suffered a 6% drop last week.
For Al Stanton, an analyst at RBC, the performance of the barrel, according to the Chinese industrial production data, is “better than expected.”
However, the market remains concerned about the demand for crude oil due to the current health crisis. That is the case of the International Energy Agency (IEA), which maintains an even more fragile perspective compared to the current one.
K.Villarroel
Source: bancaynegocios
