Petrol price today 7/8: World oil price highest in 9 weeks

At the end of the last trading session of the week, oil prices rose sharply by about 3%, to the highest level in 9 weeks. Oil prices have climbed so quickly because of concerns about supply and technical buying, despite the possibility that further interest rate increases could slow economic growth and reduce oil demand.

Phil Flynn, analyst at Price Futures Group, commented that prices are on the upswing. "I think you're seeing some sort of 'under-buy' here...because a lot of people have bet on it ," Flynn said.

After two months of consolidating prices between $73-$77 a barrel, Brent has moved into technically overbought territory for the first time since mid-April.

“The rally from last week to now has been quite strong, supported by momentum as well as fresh cuts from Saudi Arabia and Russia, ” said Craig Erlam, senior market analyst at OANDA. .

The world's top two oil exporters Saudi Arabia and Russia announced new production cuts this week, bringing the total OPEC+ cuts to about 5 million bpd, or about 5% of oil demand. Global.

“The OPEC+ production cuts are expected to tighten the market, leading to a supply deficit in the second half of 2023, supporting higher oil prices,” said analysts at US financial services firm Morningstar . more” .

According to sources close to OPEC, the group is likely to maintain an optimistic view on oil demand growth next year. OPEC's forecast for 2024 is likely to be lower than the growth it projected for this year of 2.35 million bpd, or 2.4% of global demand.