Oil prices recover ground on worries Suez blockage may take weeks to clear

26.03.2021 - Evdokimov Roman
Oil prices recover ground on worries Suez blockage may take weeks to clear

Oil prices rose 1% on Friday on rising fears that the blockage in Suez Canal could take weeks to be cleared, which could squeeze refined products and crude supplies. 

U.S. West Texas Intermediate crude climbed 1.1%, or 65 cents, at $59.21 per barrel after dropping 4.3% on Thursday. 

Brent crude gained 0.9%, or 54 cents, at $62.49 per barrel following a 3.8% decline on Thursday. Both contracts were on course for a 3% loss this week after plunging over 6% last week. 

Almost 1.74 million bpd of crude go through the Suez Canal, not including the 1.54 million bpd of refined oil products like diesel fuel and gasoline. It makes up for nearly 9% of global seaborne product trade. 

Hopes that OPEC and its allies will carry out their production cuts to the next month also boosted prices. 

Risk disclaimer "PROMETHEUS LTD – Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH96960 is a financial services institution outside the European Union Area, which is subject to the supervision of the IFMRRC Certificate 0395 AA V0155 Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. It is possible to lose all your capital. 70% of trading deals can be unprofitable. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary. Speculate only with funds that you can afford to lose. This Website may contain information in particular regarding financial services and products that could be regarded b a E.U. supervisory authority as an offer of financial services targeted in Europe. ESMA intervention measures do not apply to customers of PROMETHEUS LTD and it is your responsibility to choose a company which is most suitable for your trading needs. By clicking continue you confirm that you have read, understood and agree to the risk disclosures, terms of service, cash policies, privacy policies and this notice and that you are visiting this website on your own initiative, without any encouragement whatsoever from umarkets.ai or PROMETHEUS LTD." Cookies notification: We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we assume that you are happy with it. Read more. Continue

Help with deposit?