US prices for oil reached their record highs since 2015 once more today as traders are confident that prices are going to continue growing thanks to OPEC’s output reduction and a decrease in US drilling, despite warnings expressed by some analysts that the buoyancy could soon come to an end.
US WTI futures climbed to $62.16 per barrel this morning, which is 0.7% growth, since their previous close. A little earlier they got as high as $62.56 for a barrel, the level of May 2015.
Apart from attaining the mark of 2015, a singular peak in the day, today’s top notch was WTI’s best since December, 2014, when the market of oil began its plunge.
Brent futures moved up to $68.11 per barrel, a 0.5% rise, since the previous settlement. Brent’s best since May, 2015, was reached last week with the level of $68.27.
Traders explain the boost of prices by speculative money going into futures on the idea of a tighter market after a lengthy period of output reduction by OPEC and Russia, which is scheduled to continue all through 2018.
Some decrease in the number of rigs drilling in the US was helpful for WTI, they also said. The amount of new rigs dipped by 5 to 742 last week to January 5, as Baker Hughes oil services company reported.