following the aftermath of Hurricane IRMA, the prices of crude oil against the backdrop of demand increase, have increased to $56 bpd as of Friday; the highest since 2015.
U.S. West Texas Intermediate crude was above 50 dollars on hitting a four-month high and finished 1.2 per cent higher at 49.89 dollars, the highest since July 31. Brent crude futures were at 55.24 dollars a barrel just as they hit 55.99 dollars on Thursday.
The Organisation of Petroleum Exporting Countries (OPEC) this week forecast higher demand for its oil in 2018 and pointed to signs of a tighter global market, indicating its production-cutting deal with non- member countries is helping to tackle the supply glut.
It was followed by the IEA saying the global oil glut was shrinking, thanks to strong European and U.S. demands as well as production declines in OPEC and non-OPEC countries.
BP Chief Executive Bob Dudley said oil prices were likely to stay up to 60 dollars as major producers kept output restricted.