- Crude oil prices rose on Tuesday.
- The oil demand is improving as the world recovers from coronavirus.
- API data suggests that U.S. crude oil, distillate, and gasoline tumbled last week.
Crude oil prices rose on Tuesday as big OPEC producers are struggling to produce enough supply to meet the growing demand. November delivery Brent Crude oil futures last traded at US$74.72 per barrel up 0.04%, whereas November delivery WTI crude oil futures traded 0.60% up at US$70.91 per barrel as of 22 September 2021 at 10:40 AM AEST.
OPEC along with its allies, together known as OPEC+ was not able to produce enough oil in August to meet the current demand as the world recovers from deadly coronavirus. Several countries of the group have produces less than expected as a part of their agreement. Adding to this, the US Federal Reserve is anticipated to begin the tightening of monetary policy, cutting investor tolerance for riskier assets like crude oil. As per the American Petroleum Institute’s data, U.S. crude oil, distillate, and gasoline tumbled last week.
Crude oil inched up on Tuesday as major OPEC+ producers were not able to produce enough to meet the growing oil demand.