Brent oil a benchmark for Angola’s exports, for delivery in November opened up 4.14 percent, to around US$3.69, to US$92.84, in the session. At the close (Friday) it accumulated a weekly loss of 0.19 percent.
WTI oil for October advanced 3.89 percent to $3.25 in the session, at $86.79 a barrel, but had a slight drop of 0.09 percent for the week. Against this backdrop, crude oil futures closed up about 4 percent on Friday, supported by a weakening dollar against rivals. In the week, however, marked by the decision of the Organization of Petroleum Exporting Countries and allies (OPEC+) to cut production, the commodity accumulated a slight drop. For some analysts, oil prices are rising due to supply risks and as it is understood that the dollar has peaked against rivals, even if provisionally.
“Lately, there has been mostly bad news for oil prices as demand concerns have worsened due to the deteriorating Covid-19 situation in China, a surprising jump in inventories and the expectations of world leaders continuing to run out of relief measures. emergency to lower energy prices,” analysts say. At the same time, however, with the risk of interruptions in energy supplies from Russia to the rest of Europe, a barrel of oil is expected to remain above 90 US dollars for a few more months. In Commerzbank’s assessment, the positive effect that OPEC+ had hoped to have with the marginal cut in its output did not last long. “On the contrary, prices literally plummeted in the following days. Since the peak immediately after Monday’s decision, oil prices have dropped by as much as 10 percent,” says the German bank.
With the next meeting scheduled for October 5, Commerzbank expects both OPEC and the International Energy Agency to respond by lowering their demand projections in their monthly reports, due for publication next week. On Friday, the US Treasury released new guidance regarding a proposed price ceiling in the West for Russian oil exports, saying that maritime service providers will not be held responsible for false information from prices provided by Russian oil buyers and sellers.
