The cost of oil peaked again in the last three months
February 21, 2019 4:23 pm
By the end of Wednesday’s trading on February 20, the price of Brent crude oil updated its three-month high, reaching $ 67.37 a barrel. According to experts, support for oil prices was largely due to the uncertainty about Brexit.
Recall that on March 29 of this year, the UK is scheduled to leave the European Union. However, the situation around Brexit is full of contradictions in connection with analysts who advise taking into account the possibility of a tough development of events. At the same time, the UK is not ready to extend the free trade agreement with Japan and South Korea until it leaves the EU. Note that these Asian countries annually purchase British exports of 18.6 billion pounds. The UK Commerce Minister assured the leadership of these countries that the relevant agreements would be ready for signing the day after Brexit.
The current situation is supporting black gold prices, experts say. For example, the oil trader Trafigura purchased Brent oil from Vitol for delivery in March with a premium of 40 cents. This markup is considered the maximum for the last four months. When Equinor was selling oil at a premium of 45 cents, the above was only the value of the October deal. According to experts, the uncertainty regarding Brexit can lead to disruptions in the supply of black gold, so oil traders tend to minimize possible risks.
Futures for Brent crude oil rose more than 1% to $ 67.15 a barrel for April delivery. Since the beginning of this year, the North Sea grade of raw materials has risen in price by 24.8%. The cost of WTI light crude oil increased by 1.62%, to $ 57 per barrel.
The material has been provided by InstaForex Company – www.instaforex.com
By the end of Wednesday’s trading on February 20, the price of Brent crude oil updated its three-month high, reaching $ 67.37 a barrel. According to experts, support for oil prices was largely due to the uncertainty about Brexit.
Recall that on March 29 of this year, the UK is scheduled to leave the European Union. However, the situation around Brexit is full of contradictions in connection with analysts who advise taking into account the possibility of a tough development of events. At the same time, the UK is not ready to extend the free trade agreement with Japan and South Korea until it leaves the EU. Note that these Asian countries annually purchase British exports of 18.6 billion pounds. The UK Commerce Minister assured the leadership of these countries that the relevant agreements would be ready for signing the day after Brexit.
The current situation is supporting black gold prices, experts say. For example, the oil trader Trafigura purchased Brent oil from Vitol for delivery in March with a premium of 40 cents. This markup is considered the maximum for the last four months. When Equinor was selling oil at a premium of 45 cents, the above was only the value of the October deal. According to experts, the uncertainty regarding Brexit can lead to disruptions in the supply of black gold, so oil traders tend to minimize possible risks.
Futures for Brent crude oil rose more than 1% to $ 67.15 a barrel for April delivery. Since the beginning of this year, the North Sea grade of raw materials has risen in price by 24.8%. The cost of WTI light crude oil increased by 1.62%, to $ 57 per barrel.
The material has been provided by InstaForex Company – www.instaforex.com