Oil price news: Oil rises on Russian refinery outages, Iraq export reduction
BNN Bloomberg
Tightening oil supplies pushed West Texas Intermediate above US$83 a barrel, extending a rally that has propelled prices to the highest since October.
Ukrainian drone attacks on Russian oil refineries have added pressure to fuel markets, driving up crude demand. JPMorgan Chase & Co. said 900,000 barrels of Russian refinery capacity is offline, adding a risk premium of $4 a barrel to oil prices. Separately, Iraq plans to cut oil exports.
Crude’s upswing in recent days has seen several key market gauges turn more positive. Options markets have their least bearish tilt in months, and key timespreads suggest traders are pricing in a tighter market.
Crude is on course for a third monthly advance after breaking free from a narrow range it had been trading in for much of the year. OPEC+ supply curbs have helped to bolster prices, with Iraq’s this week promising to make good on its output cuts.
