Oil boasts fourth consecutive weekly gain ahead of OPEC+ meet with demand in focus

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Oil boasts fourth consecutive weekly gain ahead of OPEC+ meet with demand in focus

On Friday, crude oil futures’ prices had rounded off the session in an ambivalent tenure, though the black gold’s market complexion for the week remained robustly upbeat with Brent crude futures’ prices climbing as much as 7.2 per cent ahead of a pivotal meet of 14-member OPEC (Organization of Petroleum Exporting Countries) and its Kremlin-led allies as early as by next week.

Although, crude oil futures’ prices ended mixed on Friday, a number of analysts were quoted saying that investors were awaiting updates from OPEC+ meet scheduled to be held next week as beforementioned, while OPEC+ nations were found to be gradually leaning towards a delay in next year’s slated hike in crude oil output, at least three sources close to OPEC+ had unveiled over the weekend.

Aside from that, OPEC+ had been planning to hike crude oil production by 2 million barrels per day from January following a record supply cut this year, though in light of a pandemic resurgence in a number of major G20 economies across the globe, OPEC+ ministers were expected to stall their prior accord to increase production in January.

OPEC+ ministers are scheduled to meet as early as on Monday.

Crude oil clocks fourth straight weekly gain as investors look past virus damage

Citing statistics, on Friday’s commodity market wrap up UK crude futures’ prices scheduled to be expired on January added 0.4 per cent to $48.18 per barrel, while the US West Texas Intermediate crude oil futures’ prices shed 0.2 per cent to settle down the day at $45.53 a barrel.

On the week, UK crude futures surged 7.2 per cent, while US WTI crude futures had clocked a weekly percentage gain of 8 per cent. Meanwhile, citing a cautious optimism over further gains in crude oil futures’ prices, an oil market analyst at Rystad Energy, Bjornar Tonhaugen said, “The market expects prices to see a limited increase if OPEC+ indeed does what is expected and changes its planned route, postponing a planned supply increase from January.