5/17/2016, 9:04 PM (Source: TeleTrader)
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Oil back to mid-autumn levels

Expectations in the markets that crude oil inventories in the United States were depleted following the massive wildfire in Canada made price of the black gold rise on Tuesday.

Light sweet crude West Texas Intermediate advanced 1.28% to $48.34 a barrel at ICE Europe by 8:52 p.m. CET. The crude is widely traded in North America and the wildfire in Canadian province of Alberta around Fort McMurray has been cutting real production from oil sands fields over week now.

Meanwhile, international benchmark Brent 0.59% to $49.33 a barrel by 8:52 p.m. CET after fears subsided about cut of production and exports from Libya, following last week's political standoff which halted loading of oil tankers in the Mediterranean Sea port. The factions from Libya struck a deal during the talks in Vienna, Austria to re-start production, which sharply fell following the 2011 civil war.

The price of OPEC basket of 13 crudes stood at $44.37 a barrel on Monday, compared with $43.30 the previous Friday, according to report from the Organization of the Petroleum Exporting Countries.

Production in Nigeria dropped after recent spate of attacks on pipeline infrastructure. Venezuela is also experiencing some problems caused by electricity cuts in the country.

West Texas Intermediate added over 28% year to date, while Brent recovered over 30% following sharp falls back in December and January.

Breaking the News / ZR