Oil Prices Rebound as Producers Fail to Pump Targets

Oil Prices Rebound as Producers Fail to Pump Targets

As of Friday morning, West Texas Intermediate (WTI) rose 1.76% to $107.53 and Brent is up 1.87% to $110.83.

The supply losses from Russia, and the failure of OPEC and OPEC + to pump the targets, Libya – the permanent card – announced a force majeure on the two oil export terminals in Sidra and Ras Lanuf, in addition to the Al Feel field, while the Brega and Zueitina oil ports are still subject to conditions compelling.

The National Oil Corporation said that Libya’s exports recently ranged between 365,000 barrels per day and 409,000 barrels per day, which represents a decrease of 865,000 barrels per day compared to normal production rates.

Also, xtreme interest rate hikes from the Federal Reserve and other central banks last month have prompted global markets – including commodity and stock markets – to worry that a sharp rise in key interest rates could lead to a recession in the near future.

Reopenings in Shanghai and other Chinese cities with a “zero COVID” policy approach also affected oil prices last month.

Oil rebounded at the beginning of July after losing 9% in June, its first loss in eight months.