Brent Oil Hovered Above $85 A Barrel

Brent oil hovered above $85 a barrel on October 18. Today in global markets, Brent oil is priced at $85.73 a barrel.

Brent oil, which went up to $ 85.10 on Friday, closed at $ 84.86 a barrel. The barrel of Brent oil, which increased by 1.02 percent compared to the closing at 09:03 am today, is trading at $ 85.73. At the same time, West Texas Intermediate (WTI) crude oil was traded at $82.80 a barrel. Oil prices, which exceeded the $85 threshold on Friday, continued to rise as the global economic recovery after the coronavirus increased oil demand and electricity producers switched to fuel oil and diesel fuel due to rising natural gas and coal prices. It is estimated that the demand for jet fuel will increase with the announcement that passengers who will travel to the USA will be allowed to enter the country as of November 8, and similar practices will be implemented in Australia and some Asian countries as of next month. This situation also supported the increase in prices. The number of oil rigs in the U.S. reached its highest level since April 2020, reaching 445 on October 8-15, an increase of 12 from the previous week. Due to this increase, oil supply in the USA is expected to increase. On the other hand, the fact that China, one of the world's largest oil importers, increased its oil import restrictions for 2021 on independent refiners, was a factor that put pressure on prices. Total annual quotas remained below 2020, while these import restrictions were imposed for the first time since independent refiners entered the market in 2015. The fact that the Chinese economy grew by 4.9 percent in the third quarter and performed below expectations was also a factor that brought prices down. In technical terms, it is stated that the range of $85.83 to $85.98 can be viewed as resistance, and the range of $85.59 to $85.50 as support in Brent oil.