Oil prices rise on tightening supply, strong demand
Oil prices rose on Monday over supply concerns in the Middle East and as the U.S. market showed further signs of tightening while demand in Asia keeps rising.
Brent crude futures, the international benchmark for oil prices, were at $57.90 at 0131 GMT, up 15 cents, or 0.26%, from their last close.
U.S. West Texas Intermediate (WTI) crude futures were at $52.13 per barrel, up 29 cents, or 0.56 %.
Crudeoil on MCX settled up 0.39% at 3372 as political tensions in the Kurdistan region continued to disrupt crude supplies offsetting signs of wavering U.S. demand. Oil exports from Iraq’s Kurdistan towards the Turkish port of Ceyhan were flowing at average rates on Friday of 216,000 barrels per day versus the usual flows of 600,000 bpd, according to a report from Reuters citing a shipping source.
- Crudeoil trading range for the day is 3301-3415.
- Crude oil gained as political tensions in the Kurdistan region continued to disrupt crude supplies offsetting signs of wavering U.S. demand.
- Adding to a tightening U.S. market, tensions in the Middle East meant that a risk premium was being priced into oil markets.