GROWTH OIL PRICES STABLE AS IMPACT OF SUPPLY CUTS DENTED BY FUEL DEMAND FEARS
Written by thereachfm on March 15, 2019
Experts say oil prices were stable today, propped up by production cuts led by OPEC and as U.S. sanctions against Venezuela and Iran likely created a slight deficit in global supply in the first quarter of 2019.
So far, prices have been prevented from rising further by concerns that an economic slowdown will soon start denting growth in fuel demand.
Reports say Brent crude oil futures were at 67.21 dollars per barrel virtually unchanged from their last close, and within a dollar of the 68.14 dollars 2019-high reached the previous day.
U.S. West Texas Intermediate (WTI) crude oil futures were at 58.58 dollars per barrel, also close to their last settlement and not far off their 2019-high of 58.74 dollars from the previous day
The head of commodity strategy at Denmark’s Saxo Bank, Ole Hansen in a report says since the start of the year, oil has continued to grind higher in response to ongoing production cuts from the OPEC group of producers as well as another (output) slump from a blacked-out Venezuela.