As of Wednesday, December 24, global oil prices rose for the sixth consecutive day due to supply disruptions from Venezuela and Russia, as well as strong US economic data, Reuters reports.
Source: “Espreso”
Brent futures increased by 0.2% to $62.53 per barrel, while West Texas Intermediate rose by 0.3% to $58.56. Since December 16, both benchmarks have gained about 6%, recovering from declines to nearly five-year lows.
Analysts note that the market is supported by geopolitical tensions, in particular the US blockade of Venezuela by decision of President Donald Trump, as well as fresh data showing the fastest US economic growth in two years in the third quarter.
At the same time, experts warn that despite the current rise, by the end of the year Brent and WTI could fall by 16–18%, which would be the sharpest annual decline since 2020 due to expected supply exceeding demand.
Additional factors for the market include supply problems from Venezuela, as well as attacks by Russia and Ukraine on energy infrastructure. At the same time, data from the American Petroleum Institute indicate an increase in oil and fuel inventories in the US, while official EIA statistics are expected later due to the Christmas holidays.
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