Oil Cuts And Tension In Libya Cause Prices To Rise – 16 April, 2019

An imbalance in the oil market caused by OPEC led global supply cuts as well as U.S. sanctions on imports from Iran and Venezuela caused oil prices to rise this week, only made worse by fighting in Libya, a member of the organization. Brent crude futures gained by 0.8 percent and 54 cents to $71.72 per barrel. U.S. West Texas Intermediate crude futures settled at $64.05 per barrel, up 1 percent and 65 cents. Unexpectedly, U.S. stockpiles fell by 3.1 million barrels last week, though analysts were predicting a 1.7 million barrel build. Crude exports from Iran for the month of April have dropped to their lowest daily level this year, and concerns about Russia’s eagerness to continue to support OPEC’s cuts have only added pressure, with a decision coming in June.