Sep 16, 2020
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Oil prices rose on news of declining US inventories

On the morning of September 16, oil prices showed an increase amid reports from the American Petroleum Institute about a decrease in its reserves and the suspension of production in the Gulf of Mexico due to Hurricane Sally.

As of 07:37 Moscow time, the price of a barrel of Brent oil increased by 1.5%, to $ 41.15. A barrel of WTI oil is trading at $ 38.96, its price increased by 1.8%, reports RIA News.

According to the API, last week US oil inventories fell by 9.5 million barrels. Official data for the past seven days will be released this afternoon, but analysts expect stocks to fall by more than 10 million barrels this week.

Also, the oil market is affected by Hurricane Sally off the American coast. Because of the cataclysm, 25% of oil production in the Gulf of Mexico was stopped.

Our current estimate of the impact of the Sally shutdown is 3–6 million barrels of oil in about 11 days, - said Rystad Energy analysts.

Earlier wrote that OPEC has worsened the forecast for the fall in oil demand in 2020.

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