Crude oil prices increased during the week ending Nov. 27 as OPEC+ meeting instills hopes for an extension of the production cuts through 2021 and successful vaccine trials.
International benchmark Brent crude traded at $48.21 at 1326 GMT on Friday, posting a 6.02% increase from Monday when traded at 0658 GMT registered at $45.47 per barrel.
American benchmark West Texas Intermediate (WTI) traded at $45.39 at the same time on Friday relative to $42.74 a barrel on Monday.
Starting the week at $45 a barrel, Brent oil price jumped significantly on Tuesday when traded at $46.59 per barrel, hitting its highest level since March. The increase came after the news of a third effective COVID-19 vaccine by AstraZeneca whose vaccine is announced to have 70% efficacy against the novel coronavirus.
While the vaccine news boosted hopes for a quicker recovery in oil demand, the Organization of Petroleum Exporting Countries (OPEC) and allies, also known as OPEC+, have hinted so far an extension or tweak on production cuts during their meeting on Nov. 30 and Dec. 1.
However, the markets are mixed on Friday afternoon as OPEC+ members signaled disagreement over oil production cuts. Markets expected a possible more-than-expected decrease in demand due to secpnd-wave of COVID-19 and OPEC+ signaled that it might delay this increase to keep supporting prices. After a steep rise in oil prices, members of the group lost the consensus on what to do next.
The number of deaths worldwide from COVID-19 surpassed the 60 million mark Wednesday, according to Johns Hopkins University. The US-based university has recorded 60,174,732 cases and 1,417,153 deaths since the virus emerged in the Chinese city of Wuhan in December.
By Ebru Sengul Cevrioglu