Brent hits $110/barrel, gains nearly 3% as hopes faint over OPEC+ supply boost

• Financial

On Friday, both US and Brent crude oil futures’ prices gained ground, wrapping up a tumultuous July in a robust tone, as investors turn to next week’s meet of 14-member OPEC (Organization of Petroleum Exporting Countries) alongside Russia-backed allies.

In the matter of the fact, in the day’s sharp uprising in crude oil futures’ prices were galvanized by a number of fundamentals, however, as optimisms simmer over a plausible output hike from OPEC+, market participants jumped on the bandwagon of a crude oil buying-frenzy.

On top of that, sources close to OPEC+ were quoted as saying in a press agency report earlier on Friday that the group had been looking to a steady production stratagem, ignoring calls from the US President Joe Biden alongside representatives from EU.

Aside from that, US President Joe Biden, who has recently visited Middle East aimed at improving relationship with OPEC-kingpin Saudi Arabia and prodding the kingdom to increase output, had been met with harsh scolding over United States’ approach towards the murder of Jamal Khashoggi, while CIA has reportedly been laying the blames on Saudi crown prince Mohammed bin Salman.

Amid such turbulent geo-political atmosphere, it is highly unlikely that the OPEC+ will increase output, suggested analysts.

Oil gains over 3 per cent, ends July in a strong note

Citing statistics, in the day’s commodity market wind-down, the US West Texas crude oil futures’ prices gained 2.3 per cent to $98.62 per barrel, while UK crude oil futures’ prices scheduled for September delivery, jumped 2.7 per cent to $110.01 a barrel.

Over the week, US crude oil futures’ prices gained 3.58 per cent, while Brent crude oil contracts’ prices rose modestly as well. Over the month, Brent has been down about 4 per cent, while US WTI crude oil futures’ prices faltered as much as 7 per cent.