Oil mixed, amid fears over supply and demand

Around 11:45 a.m. GMT (12:45 p.m. CET), the price of a barrel of Brent BRENT Brent, or North Sea crude, is a variation of crude oil serving as a benchmark in Europe, listed on the InterContinentalExchange (ICE), a stock exchange specializing in energy trading. It became the first international standard for setting oil prices. from the North Sea, for delivery in March, grapple 0,22% has 77,22 dollarsafter touching 77,89 dollarsa highest since mid-October 2024, almost three months.

Its American equivalent, the barrel of West Texas Intermediate, for delivery in February, takes just 0,46% has 74,59 dollars.

The two crude benchmarks are supported by “concerns over tight Russian and Iranian oil supplies due to escalating Western sanctions“, notes John Plassard, analyst at Mirabaud.

Crude prices also benefit from the prospects of a “recovery of the Chinese economy fueled by stimulus measures“, and potential”related support to raw material demand“, adds Kieran Tompkins, of Capital Economics.

The analyst thinks that this should, however, prove to be “short-term“, facing the “contrary winds“pessimistic outlook on”growth in global oil demand“.

These could deter the gradual reintroduction by eight members of the Organization of the Petroleum Exporting Countries and its allies (OPEC+), including Saudi Arabia and Russia, of 2.2 million barrels per day, currently expected from April.

The federation of professionals in the sector, the American Petroleum Institute (API), also estimated Tuesday evening that American crude stocks had fallen by 4.02 million barrels last week.

But this unexpected drop was “more than compensated” by increasing gasoline reserves by more than 7.33 million barrels announced on the same occasion by the API, estimates Tamas Varga, analyst at PVM Energy.

The figures from the American Energy Information Agency (EIA), expected on Wednesday, are however considered more reliable.

Furthermore, the Ukrainian army claimed on Wednesday to have struck during the night an oil site in Russia located 500 kilometers from the border and supplying Russian military aircraft which are bombing Ukraine.

(c) AFP

Commenter Oil mixed, amid fears over supply and demand