Crude oil futures closed higher on Monday (May 2) following reports that the European Union (EU) is pushing for the imposition of sanctions on Russian oil. This could lead to a tightening of oil supply on the world market.
- WTI crude futures were up 48 cents, or 0.5%, at $105.17 a barrel.
- BRENT crude futures were up 44 cents, or 0.4%, at $107.58 a barrel.
Crude oil futures fell to an intraday low of $100.28/barrel on fears that the lockdown of key Chinese cities could lead to a slowdown in oil demand. However, the market recovered thereafter. However, global oil supply could become tight if the EU decides to impose sanctions on Russian oil.
Carsten Fritsch, commodity analyst at Commerzbank explained that concerns about tight oil supply continue to play a role in oil price movements. Especially at a time when the EU is pushing for sanctions against Russian oil after Germany failed to oppose the measure.
Investors are watching for the weekly report on U.S. oil inventories, which the EIA will release on Wednesday.
The Spot Market is Open
Tuesday, May 3, 2022
| Energy Updated at | USD Price | Change | %Change |
| Crude Oil 11.10 | 104.96 | -0.21 | -0.20% |