Oil quotes show growth for five consecutive days. Brent benchmark is trading above $47.5 per barrel, U.S. West Texas Intermediate has reached $45 per barrel.
Wherein, there is only one reason for the rise of black gold prices. The US dollar index updates annual lows, forcing the US currency to surrender its positions against most of the currencies from the main basket. Weakness of the US dollar is also used by oil prices, but there is a high probability that the prices will soon return to a downward movement.
For a new fall of oil quotes, reasons is more than enough. The activity of American oilmen is only increasing. Even despite the decline of WTI to $42, the number of working rigs is growing. Together with that, oil and gasoline reserves in the US storage are only increases. Moreover, OPEC declares that it does not plan to increase the volume of cut production by the exporting countries. At the same time, Libya, Nigeria and Iran are increasing their production.
And as soon as the market remembers that the supply continues to prevail over demand, oil prices will necessarily return to more modest values.