geopolitics

The severe winter storm that swept through the United States last week likely shut in between 2 million and 4 million b/d of US crude oil production, IHS Markit said in an analysis.

 Prices in London climbed for a fourth straight week as efforts to clear an oil surplus are supporting oil prices until demand comes back to pre-pandemic levels.

Brent closed on Friday at $59.44—close to the benchmark’s $60 psychological threshold. Last week at this time, the spot price for Brent was just $55.04.

Prices remained in a narrow range for the third week, around $52 in New York and $55 in London.

The course of the coronavirus continued to roil the oil markets last week. After a 10 percent gain since the beginning of the year, oil reversed last week as new outbreaks of the virus accompanied by recent lockdowns appeared worldwide.

 Crude futures rode a late session upswing to end 2020 higher, as the market looked to a Jan. 4th OPEC+ meeting for direction. WTI settled at $48.52, and Brent settled at $51.80.

Weekly prices declined for the first time since October, as a new coronavirus mutation spread through parts of the world and poses risks to energy demand. 

Prices rose for a seventh straight week as efforts to pass another US virus relief package added to optimism that the vaccine’s rollout will provide a boost in demand. Futures rose 1.5 percent in New York on Friday, extending this week’s rally to over 5 percent.

Oil managed a small weekly gain last week as the impasse in Washington over pandemic relief dimmed chances of an imminent boost in demand. 

Prices rose for a fifth straight week with support from the OPEC+ deal and hopes for another round of US stimulus. 

Prices rose for a fourth straight week, buoyed by optimism over Covid-19 vaccine progress ahead of an OPEC+ ministerial meeting this week.