For the second day in a row, global fuel prices recorded a remarkable increase, and fears emerged that the downward trend of fuel at the pump Which in some cases goes back to … pre-war levels, especially gasoline levels.
Today, the price of Brent crude in international markets is one breath away 81 dollars a barrel height up 3,5%. It is worth mentioning that In less than 48 hours the price of “black gold”.it rose by more than $5 a barrel, while there are fears of a possible move to new heights.
The root cause is that The Keystone oil pipeline in the US state of Nebraska has been shut down while the upward trend is reinforced by Threats from Russia To initiate a production cut, but also because of relaxation Restrictive measures in China due to covidwhich increases the potential for increased demand.
The pipeline remains closed after a leak was noticed on the evening of December 7th. Connects fields in Canada to refineries in Canada American Gulf Coastleakage was observed. It has carried more crude oil than any other pipeline on US soil over the past 12 years.
It is not known when the pipeline will reopen
Canadian company TC energywho exploits it, He has not yet announced a plan to resume its work.
Analysts polled by Reuters estimated that average US inventories fell by 3.9 million barrels The week of December 9th.
During the last period, oil prices recorded losses due to fears of their weakness International Economy It will reduce fuel demand, putting prices on a downward trajectory for the second consecutive quarter.
It is worth noting that prices had risen last June above $120, but then fear of a recession in the global economy began to put pressure on prices, and they fell two days ago to $75 levels.
Fears of rising $90
according to Current estimates from Brent Homes International Levels can be re-watched 90 dollars a barrel, Especially if there is light at the end of the tunnel.
This is with its analysts Bank of America, citing Reuters, Brent may recover 23% from today’s levels to $90 a barrel in the next 12 to 36 months.
According to the agency, BofA analysts base their estimations on the fact of this The US Federal Reserve is preparing to “hold back” the policy of raising interest ratesa development that could restore demand and push oil prices higher, and the effect that a “successful” economic opening would have for China.
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