Brent crude hits 2-month high level on supply concerns

Highlights

  • Brent Crude oil prices surged to two-month highs on Thursday.
  • Strong demand and limited supply are pushing the prices to record highs.

Brent Crude oil prices surged to two-month highs on Thursday on the back of robust demand and hampered production in the Gulf of Mexico followed by two hurricanes. November delivery Brent Crude oil futures last traded at US$77.26 per barrel, up 0.03%, whereas November delivery WTI crude oil futures traded 0.14% down at US$73.20 per barrel as of 24 September 2021 at 10:34 AM AEST.

Both the benchmarks jumped on Wednesday followed by the report of the U.S. Energy Information Administration stating a drop of 3.5 million barrels in the week ending 17 September, the lowest since October 2018. Limited supply from some members of OPEC and its allies after severely hitting by pandemics has also supported oil prices.

Bottom Line

Brent Crude oil prices surged to two-month highs on the back of strong demand and limited supply from the US and few OPEC+ countries.

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