Gulf Storm Boosts Oil Prices – 27 October, 2020

A storm approaching the Gulf of Mexico forced some production companies to shut down causing oil prices to rise slightly, weighed down by rising coronavirus infections. Brent Crude was 1.9% or 75 cents higher at $41.21 per barrel. U.S. oil was 2.6% or $1.01 higher to $39.57 per barrel, with both contracts falling over 3% the previous day. Demand is expected to weaken as some countries reinforce restrictions to try to control the virus. OPEC and their allies have planned to increase production by 2 million barrels per day in January, having made record production cuts in the last year.