LONDON – After yesterday’s oil price rally, a Reuters report said that crude has extended its surge and hit above $42/bbl today. This marks the highest price point so far this year, upon news of a likely production freeze, dollar weakness, and major fiscal news in the UK and US.
The news organization said that Brent crude front-month contract touched a 2016 high at $42.40/bbl today, and is now at $42.31/bbl. US crude, WTI, rose as high as $41.13 before settling at $41.04/bbl. The benchmark had jumped by 4.5% to close the previous session at $40.20.
Yesterday, March 18, the NASDAQ showed Brent at $40.33/bbl, and WTI just shy of $40 at $39.41. Days ago, the US benchmark dipped as low as $36/bbl, with its European counterpart trading at $38.
Prices have recovered considerably throughout the month of March, with oil reaching its highest level in three month. Further recovery was prompted by a report from the International Energy Agency that pointed to indicators that the market had reached its bottom.
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