Oil price is rising: what is the reason
10 November 10:09
Oil prices are rising on Monday, November 10, amid expectations that the US federal government may soon reopen, which will lead to increased demand from the world’s largest consumer. Hopes for an agreement between Democrats and Republicans on Capitol Hill offset fears that an increase in global oil production will cause a surplus in the market, "Komersant Ukrainian" reports.
By 08:11 Kyiv time, futures for Brent crude oil rose by 0.9% to $64.2 per barrel, and WTI by 1.02% to $60.36 per barrel.
Eight OPEC countries have agreed to a slight increase in oil production targets for December, saying they will pause the growth of quotas in the first quarter of next year.
US oil stocks are also rising, and the amount of oil stored on tankers drifting off the coast of Asia has doubled in recent weeks as tighter Western sanctions against Russia have restricted imports to China and India, and a lack of import quotas has reduced demand from independent Chinese refiners.
US President Donald Trump’s decision to grant Hungary a one-year exemption from US sanctions on Russian oil imports has heightened concerns about oversupply on the global market.
