AFP, London :
World oil prices rallied this week, extending a strong run since the start of August, on prospects that producers may strike a deal to limit high output.
Brent North Sea crude on Friday rose above $51, reaching the highest level since just before Britain’s vote to quit the EU that sent markets crashing.
Brent struck $51.22 a barrel — a peak since June 22 on the eve of the Brexit referendum. The rally was thanks also to a weaker dollar, according to analysts.
US benchmark West Texas Intermediate (WTI) meanwhile hit a near seven-week high of $48.71 on Friday.
“The prospect of co-operation between OPEC and Russia to freeze output (around current levels) has been a crucial driver of recent gains,” said Dorian Lucas, analyst at energy research group Inenco.
Falls in the US currency this week have also helped to boost demand for dollar-denominated crude.
The dollar slid mid-week after the minutes from the Federal Reserve’s last meeting suggested central bankers would remain cautious regarding the raising of US interest rates.
Oil prices have meanwhile roared back to enter a bull market since the beginning of August, rallying more than 20 percent from below $40 a barrel.
“After briefly entering bear market territory as defined by a 20 percent drop from a peak at the start of the month, the market for Brent oil has completed a remarkable U-turn.
World oil prices rallied this week, extending a strong run since the start of August, on prospects that producers may strike a deal to limit high output.
Brent North Sea crude on Friday rose above $51, reaching the highest level since just before Britain’s vote to quit the EU that sent markets crashing.
Brent struck $51.22 a barrel — a peak since June 22 on the eve of the Brexit referendum. The rally was thanks also to a weaker dollar, according to analysts.
US benchmark West Texas Intermediate (WTI) meanwhile hit a near seven-week high of $48.71 on Friday.
“The prospect of co-operation between OPEC and Russia to freeze output (around current levels) has been a crucial driver of recent gains,” said Dorian Lucas, analyst at energy research group Inenco.
Falls in the US currency this week have also helped to boost demand for dollar-denominated crude.
The dollar slid mid-week after the minutes from the Federal Reserve’s last meeting suggested central bankers would remain cautious regarding the raising of US interest rates.
Oil prices have meanwhile roared back to enter a bull market since the beginning of August, rallying more than 20 percent from below $40 a barrel.
“After briefly entering bear market territory as defined by a 20 percent drop from a peak at the start of the month, the market for Brent oil has completed a remarkable U-turn.
