Oil continues to rise after the recent growth. The possible production drop in America is its reason.
In London, Brent futures for November have grown by more than a third of a percent – $ 79.3 per barrel. Yesterday they rose more than 2% to $ 79.
In New York, WTI futures for October have risen by almost a percentage to $ 69.8 per barrel. Yesterday they rose by 2.5% to $ 69.5 per barrel.
The media reported that fuel stocks had decreased by 8.6 million barrels. The rate of the stock reduction is a record for the last couple of months.
More accurate data from the official source will appear on Wednesday evening. Bloomberg has already interviewed experts, who agreed that the Ministry of Energy would report a 2 million barrel stock reduction, having a definite impact on the markets.
On the eve the same department changed the forecast for the average level of oil production in the States for this year. The new figure was lower than the previous forecast by 0.02 and amounted to 10.66 million barrels per day. The forecast for the next year has been reduced by the same value. It is assumed that in 2019 the country will produce 11.5 million barrels per day.
Investors are watching the hurricane Florence moving towards North Carolina. Now it is 1000 km away from the state, but it can approach the shore as early as Friday morning. At the moment, about a million people have been removed from the potentially dangerous zone. It is expected that more than 70 cm of precipitation will fall on the territory and the risk of floods will greatly increase.
The hurricane has got a hazard category 4. The wind speed is 63 km / h. The oil production platforms in the Gulf of Mexico and Louisiana will not be affected, but the pipeline at Colonial, which supplies fuel to New York, may be damaged. Because of this, there may be interruptions in the gasoline supply and diesel fuel.
The material was prepared with the participation of Anjela Chromova,
a leading analyst of the brokerage company CT Trade