Brent crude prices are near $50
On Wednesday, International Brent crude benchamark managed to approach to $50, followin outages in Canada and Africa. Apart from that, output decliens outside of the Middle East region also contributed to Wednesday’s leap. All of this definitely drove expectations as for a tigher supply market.
In New York, June delivery sweet, light oil futures were worth $48.47, demonstrating a $0.16 surge. Simultaneously, July Brent crude futures gave a $0.17 soar, trading at $49.45 per barrel. By the way, Brent oil futures were last higher than $50 in last year’s November.
Sure, some financial analysts find $50 too high for today, but just two years ago, crude hit $100. So, the number one commodity might try to reach higher.
Overnight Canadian forest fires helped oil to go up. The fires generated a series of oil-site evacuations, thus excluding at least one million barrels a day from Canadian oil-sands output.
Furthermore, ongoing military attacks on crude infrastructure in Nigeria as well as instability in Libya have negatively impacted the countries’ crude operations.