Oil prices rose yesterday, and achieved gains for the fourth week in a row, after the International Energy Agency said that global demand will rise to a new record level this year, supported by the recovery of consumption in China.
The agency also warned that the large production cuts announced by the producing countries in the “OPEC +” alliance, which consists of the Organization of the Petroleum Exporting Countries (OPEC) and other producers led by Russia, may increase the oil supply shortage and harm consumers.
Brent crude futures rose 22 cents, or 0.3 percent, to settle at $86.31 a barrel. US West Texas Intermediate crude futures were at $82.52 a barrel, up 36 cents, or 0.4 percent, according to Reuters. The two benchmarks recorded gains for the fourth week in a row, in light of calming fears about the banking crisis that occurred last month and the sudden decision to increase production cuts taken last week by the “OPEC +” alliance.
The price of a Kuwaiti oil barrel decreased by 1.27 dollars, to reach 88.18 dollars in yesterday’s trading, compared to 89.45 dollars in Thursday’s trading, according to the price announced by the Kuwait Petroleum Corporation.
The International Energy Agency said in its monthly report, Friday, that global oil demand is set to rise by two million barrels per day in 2023 to a record level of 101.9 million barrels per day, driven mostly by strong Chinese consumption after lifting restrictions related to the “Covid” pandemic.
The agency added that the demand for aviation fuel represents 57 percent of the increase in demand in 2023. However, OPEC indicated last Thursday to the dangers of a decline in oil demand in the summer due to reasons including a reduction in production by 1.16 million barrels per day.
Read Today's News TODAY... on our Telegram Channel click here to join and receive all the latest updates t.me/thetimeskuwait
