Oil rallied to a five-month high as energy companies suspended offshore operations and refiners shuttered Gulf Coast plants with Tropical Storm Laura expected to strengthen into a hurricane before making landfall later this week. Around 82% of oil production in the Gulf of Mexico was halted by around midday Monday, with refinery closures from companies including Motiva Enterprises LLC and Valero Energy Corp potentially shutting in more than 1 million barrels a day of capacity. The region accounts for 17% of total U.S. oil production and 5% of U.S. natural gas output. Also supporting prices was a report by members of the Organization of the Petroleum Exporting Countries and other oil powers including Russia, that oil producing countries in the OPEC+ group that pumped above supply targets from May to July will need to slash output by over a million barrels per day for two months to compensate.
TREND : WEAK BULLISH
Time : 25/08/2020
Pivot : 42.55
Technical View : LONG ABOVE 42.75
Target : 42.95, 43.02, 43.24
Technical View : SHORT BELOW 42.35
Target : 42.15, 42.08, 41.88