Despite constant price rollbacks, oil quotations continue to update the highs in the charts. Brent already touched $53 per barrel, US West Texas Intermediate tested $50.
Black gold prices receive support from the reduction of oil and oil products in the US storages. Official data from the US Energy Information Administration didn’t confirm the report of the American Petroleum Institute, showing inventories reduction, and although the forecasts were more than 2 million, the value is 1.753 million barrels has become a good support for oil prices. Besides that gasoline inventories declined by 0.4 million barrels, and most importantly, for the first time in a long time, oil production in the United States showed a slight decrease of 0.1%.
A significant growth of the oil prices is deterred by market participants’ doubts that OPEC + will prolong the agreement of cut production by the exporting countries for another nine months. But Saudi Arabia wants to see prices above $60 by the end of this year, and says that will do everything to implement this scenario and eliminate glut in the oil market. What exactly will offer Saudis at the summit on May 25 will be seen, but shouldn’t ignore one of the main players.