Oil prices rose again today in the morning in Asia. Attacks on the United Arab Emirates and the wobbly OPEC + support continue to lift oil prices.
WTI crude oil rose 0.74%, or 62 cents, to $84.31 a barrel.
The crude oil type Brent has meanwhile the $90 in the view, rises today by 0.8% or 69 cents to $87.23 per barrel.
Terrorist attacks on the UAE by the Yemen Houthi group have deterred market participants as production halts loom. However, the national oil producer ADNOC has given the all-clear for the first time, saying that oil production will continue without interruption. The UAE is the 7th largest oil producer and produces 4% of global oil output. Almost 4 million barrels per day are produced in the UAE.
Another factor helping oil prices is the shaky output of OPEC+. Although OPEC+ has indicated that it will produce an additional 400,000 barrels per day, some member countries, such as Libya and Nigeria, are struggling. Lack of investment in production equipment in recent years is causing lengthy maintenance. In addition, Libya has just closed its largest oil field.
China and the U.S. want to counter rising prices and have agreed to release more strategic reserves. These are expected to happen towards the end of this month.
The Spot Market is Open
Tuesday, January 18, 2022