Reuters | Sep 29, 2020 05:30
* 'Relief rally' pushes equity markets higher
* Firming dollar helps prices
* Russian oil minister warns of resurgent COVID-19 risks
* Higher exports from Iran, Libya (New throughout, updates prices, market activity and comments to settlement)
By Laila Kearney
NEW YORK, Sept 28 (Reuters) - Oil prices rose 1% on Monday as global equities rallied on hopes for another U.S. stimulus package, but rising virus cases fed concerns about fuel demand and kept oil futures from moving higher.
"In my opinion, the most likely event capable of moving the crude oil market to the next level would be the passing of a coronavirus stimulus package," said Bob Yawger, director of energy futures at Mizuho.
Oil followed Wall Street higher as American political talks continued for another COVID-19 relief bill after U.S. House Speaker Nancy Pelosi on Sunday said she thought a deal could be reached with the White House. weaker U.S. dollar, which moves inversely with oil prices, also helped crude futures. .DXY
Still, the global health crisis, which has slashed global fuel consumption, kept oil prices from pushing much higher.
"The speed with which the virus is spreading is the main concern for both health officials and financial investors," said PVM analyst Tamas Varga.
Some Midwest U.S. states have seen a 25% jump in positive COVID-19 test rates, and the number of new infections nationwide has grown to 46,000 on average each day compared with 35,000 daily two weeks ago. Energy Minister Alexander Novak said the global oil market had been stable for the past few months, but warned of the risks of a second wave of COVID-19 cases. efforts by the Organization of the Petroleum Exporting Countries and its allies to limit output, more crude is being exported from OPEC producers Iran and Libya. Secretary General Mohammad Barkindo said on Sunday that commercial oil inventories in OECD countries should stand only slightly above the five-year average in the first quarter of 2021, then fall for the rest of the year. one of the heaviest clashes between Armenia and Azerbaijan since 2016 broke out over the weekend, reigniting concern about stability in the South Caucasus, a corridor for pipelines carrying oil and gas to world markets.
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
Get free real time quotes, charts and alerts on stocks, indices, currencies, commodities and bonds. Get free top of the line technical analysis/predictors.
More content, faster quotes and charts, and a smoother experience is available only on the App.