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The price of Brent rose above $100 per barrel again

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31 August 2022

Oil prices are rising moderately on Friday morning after falling the day before, foreign media reported.

 According to Interfax, the cost of October futures for Brent on the London ICE Futures exchange by 8:03 Moscow time on Friday amounted to $100.12 per barrel, which is $0.78 (0.79%) higher than the closing price of the previous session. As a result of trading on Thursday, these contracts fell by $1.88 (1.9%) to $99.34 per barrel.

 The price of futures for WTI for October in electronic trading on the New York Mercantile Exchange (NYMEX) by this time amounted to $93.28 per barrel, which is $0.76 (0.82%) more than the final value of the previous session. By the close of trading the day before, the cost of WTI fell by $2.37 (2.5%) to $92.52 per barrel.

 «Oil traders are focusing on just two things,» Naeem Aslan, senior market analyst at AvaTrade, said. «It's the possibility of a nuclear deal on Iran that would bring Iranian oil back to the market, and more importantly, OPEC production».

 «There are a lot of rumors in the market that a deal with Iran is very likely, as the country appears to have abandoned some important demands», he added.

 Meanwhile, Saudi Arabia, OPEC's largest oil producer, has begun talking about the cartel's production cuts, the expert said. «This allows to calm the main fear of traders that the return of Iranian oil to the market will destabilize the balance of supply and demand», Aslan said.

 The next OPEC+ meeting will take place on September 5.