Brent Holds Firmly Above $50 As Oil Returns To Bull Market
SINGAPORE,(UrduPoint / Pakistan Point News - 19th Augst,2016) - Brent crude held firmly above $50 a barrel in Asian trade Friday as a bullish momentum continued, fuelled by hopes of an output freeze by key producers and data showing robust US demand. prices have roared back to enter a bull market, rallying more than 20 percent from lows seen earlier this month when they pushed below $40 a barrel for the first time since April. Members of the Organization of the Petroleum Exporting Countries and their rivals outside the group are to meet informally next month in Algeria, and there have been hints their talks could include ways to stabilise the oversupplied crude oil market.
Adding to that, official US government data showed US commercial crude stockpiles fell by 2.5 million barrels and gasoline stocks by 2.7 million barrels in the week to August 12, indicating robust demand in the world's top oil consumer. Weakness in the US Currency has also helped boost the dollar-traded commodity by making it cheaper, encouraging demand.