Oil prices rise to $51 after a sharp drop
Oil rose to $ 51 a barrel on Wednesday after hitting its lowest level since June 2017 amid estimates that the price drop triggered by concerns about the global economy has reached its peak and under OPEC-led efforts to curb supply.
Crude has been stuck in the context of weak financial markets in general in the light of US government closures, rising interest rates in the United States and the US-Beijing trade dispute, all of which have alarmed investors and exacerbated concerns about global growth.
Brent crude was up 43 cents at $ 50.90 a barrel at 0949 GMT. The price earlier fell to $ 49.93, its lowest level since July 2017, and lost 6.2 percent in the previous session.
US crude rose 74 cents to $ 43.27.
“I think the decline has gone a little too far because of global market concerns,” said Olivier Jacob, an analyst at Petromatrix. “It’s all about stocks.
OPEC has shown its desire for higher prices and is working towards that goal.
Trading was weak due to Christmas holidays. Asian stock markets fell again on Wednesday, while markets remain closed in Britain, Germany and France. Source