FTSE 100 soares amid surging oil
On Thursday, British shares demonstrated a moderate advance, driven by energy stocks as OPEC members met in Vienna.
The FTSE 100 edged up 0.2%, trading at 6,204.74. On Wednesday, the blue-chips benchmark went down 0.6% as housing and mining stocks tumbled.
In Thursday’s trade, stocks of oil major Royal Dutch Shell PLC went up 1.6%, while its counterpart BP PLC acquired 1.2% as crude prices gained ground with just Brent trading a bit below $50, West Texas Intermediate crude hovering above $49.
Energy traders were focused on Vienna. Exactly in that city, OPEC is supposed to discuss future crude output levels. While Wednesday’s reports suggested that OPEC might consider putting a ceiling on output, market participants are still skeptical regarding this prospect.
If OPEC members fail to come to a compromise today, the $50 level will most likely remain a solid barrier.
Meanwhile, Iran is planning a considerable increase in its crude production in order to hit an output of about 4.8 million barrels a day in five years.