WTI Crude oil futures extended a rally above $40 per barrel and hit more than two month high above $43 per barrel but prices pulled back on broad demand worries. Global oil demand will rebound more slowly in 2021 than previously thought because of rising coronavirus cases, energy cartel OPEC said on Wednesday in a monthly update. Demand will rise by 6.25 million barrels per day (bpd) next year to 96.26 million bpd, the Organization of the Petroleum Exporting Countries said in a monthly report. The growth forecast is 300,000 bpd less than expected a month ago. WTI Crude is currently up 0.98% at $42 per barrel.
Oil prices rose in early trade on Thursday, taking the week’s gains to more than 12% on growing hopes that the world’s major producers will hold off on a planned supply increase as soaring cases of COVID-19 dent fuel demand. Algeria’s energy minister said on Wednesday that OPEC+ – grouping the Organization of the Petroleum Exporting Countries (OPEC) and other suppliers including Russia – could extend current production cuts of 7.7 million barrels per day (bpd) into 2021, or deepen them further if needed. The weakening outlook has piled pressure on OPEC+ to delay a supply increase of 2 million bpd scheduled for January. Both Brent and WTI have soared this week, lifted by hopes that the global coronarivus pandemic can be brought under control after initial trial data showed an experimental COVID-19 vaccine being developed by Pfizer Inc and Germany’s BioNTech was 90% effective.
TREND : SIDEWAYS
Time : 12/11/2020
Pivot : 41.95
Technical View : LONG ABOVE 42.25
Target : 42.35, 42.74, 43.74, 44.38
Technical View : SHORT BELOW 41.75
Target : 41.55, 40.41, 40.16, 39.06