Brent Crude Oil is currently trading at the level of 80 USD for a barrel. This value has been reached after 4 years. Concretely the last time this value has been spotted is in the November 2014. Nobody would dream about this value in the January 2016, when crude oil had been traded at the value 32 USD for barrel.
Rising oil prices are a boost to the world’s crude producers, but a blow to those countries who are net importers of energy.
For them, 80 USD per barrel oil means higher inflation, and could be bad for growth if consumers have less disposable income to spend once they’ve covered their fuel and energy costs, according to Theguardian.com
Crude has rallied this month on concern that President Donald Trump’s decision to quit an international accord with Iran and reimpose sanctions will strain global supplies just as markets are already tightening. The glut that had weighed on prices for the past three years has finally been eliminated, thanks to strong demand and output cuts by other producers in OPEC, the International Energy Agency said on Wednesday. Oil’s advance to 80 USD brings it to the level that OPEC’s biggest member, Saudi Arabia, is reportedly seeking to cover the cost of weighty domestic spending commitments. However, the IEA — which advises oil-consuming nations — has warned that prices are high enough to hurt consumption, and trimmed its forecasts for demand growth, according to Bloomberg.com
The next support is set at the 82 USD then 89 USD per barrel. Resistances are at the prices 71 USD, lower one at the 68 USD.