NEW YORK (Reuters) – Other prices set higher Thursday, hitting 11-month peaks, as markets continued to focus on Saudi Arabia’s unexpected promise to tighten the oil cuts and tighten equities. deepen, eliminating political unrest in the United States.
Brent crude set 8 cents to $ 54.38 a barrel after touching $ 54.90, a record high before the first COVID-19 locks came in the West.
US West Texas Intermediate (WTI) set 20 cents to $ 50.83, after hitting a session high at $ 51.28.
On Wednesday, futures prices fell short when supporters of President Donald Trump stormed the U.S. Capitol after he urged them to complain about Congress’ confirmation of his election loss.
Oil prices have been backed this week by a pledge from Saudi Arabia, the world’s largest oil exporter, to cut production by an additional 1 million barrels per day (bpd) in February and beyond. March.
“By next month, this bull market could recover to largely higher levels with the benefit of an unexpected 1 million bpd voluntary product cut,” said Jim Ritterbusch, president of Ritterbusch and Associates. in Galena, Illinois.
Seven North Sea crude shipments were bought and sold in the trading window that Platts was operating Thursday, the highest level trade sources say may reflect tighter supply after the surprising cut.
“Saudi Arabia knows … the relationship between oil prices and global inventory levels is closely linked. Lower investments equate to higher prices, ”said SEB chief product analyst Bjarne Schieldrop.
Global equities were higher as investors believe U.S. Democratic President Joe Biden would have the power to spend more liberally after winning two Democrats in Senate races in Georgia that took control of the party on each chamber of the US Congress. [nL1N2JI1A9]
“The expected stimulus measures under the Biden administration that are likely to include major infrastructure investment represent a supportive consideration that has the potential to stimulate gasoline and diesel demand,” Ritterbusch said.
Additional recitation by Noah Browning and Aaron Sheldrick; edited by Kirsten Donovan and Marguerita Choy and Sonya Hepinstall