Commodity News
HeadLine : Oil rises on expectation high natural gas to drive switch for heating
Date : Oct 14 2021
Oil prices rose on Thursday, reversing previous losses, on expectations that high natural gas prices as winter approaches may drive a switch to oil to meet heating demand needs. Brent crude futures gained 28 cents, or 0.3%, to $83.46 a barrel after falling 0.3% on Wednesday. U.S. West Texas Intermediate (WTI) crude futures climbed 22 cents, or 0.3%, to $80.66 a barrel, after dropping 0.3% the previous day. Prices were also supported by concerns about supply tightness after the U.S. Energy Information Administration (EIA) said on Wednesday that crude oil output in the United States, the world's biggest producer, is going to decline in 2021 more than previously forecast thought it will bounce back in 2022. The American Petroleum Institute (API) said late on Wednesday that U.S. crude stockpiles rose by 5.2 million barrels for the week ended Oct. 8, according to market sources who saw the API data. Analysts in a Reuters poll expected crude inventories to rise by 700,000 barrels. The Organization of the Petroleum Exporting Countries (OPEC) trimmed its world oil demand growth forecast for 2021 in its latest monthly report on Wednesday, while maintaining its 2022 view.

Source: Investing
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