The coronavirus vaccine is the most happy ... oil producers

Oil prices are rising for the sixth consecutive week. The barrel of the WTI variety went up more than 40 percent during this period, exceeding the level of $ 47. The last time the price was paid for oil was in early March this year, when the world closed in fear of a pandemic.

Oil prices are rising despite the apparently unfavorable news. It can be considered as such OPEC + decision to partially lift production limits. The latest increase took place after the cartel announced that from January 1, 2021, it would increase production by 500. barrels a day. The price rally was also not stopped by the information from the United States, where the weekly increase in raw material inventories reached the second highest level in history - 15 million barrels.

What determines the price increase? - The prospect of a return of demand for the raw material next year due to vaccination seems to be the main factor favorable for the increase in prices COVID-19 - says Daniel Kostecki, chief analyst Conotoxia Ltd., a company that provides Forex services for clients of the Cinkciarz.pl portal.

We really know more and more about the vaccine. Reuters reported that the US may begin vaccinations this weekend. The UK has already done so earlier this week. The next ones may be: Canada, Bahrain and Saudi Arabia, which have also already approved their first vaccines.

The current situation in the oil market seems ideal for the cartel. Not only have the members of OPEC + decided to increase production, the optimism on the world markets has led to significant price increases - points out Daniel Kostecki. - The last time of the six-week period of price prosperity on the oil market was in April and May this year, and earlier in spring 2019. - added the analyst Conotoxia Ltd.