Saudi Arabia raises crude oil prices

Demand worries are lingering, yet Saudi Arabia has increased crude oil prices, and U.S. oil prices fell more than 3%.

Earlier in the day, after Saudi Arabia announced the increased price of crude oil and China announced the import and export data, oil prices rose sharply.

Saudi Arabia raised its official sales price for crude in June, and the country ’s exports in May fell to its lowest level in nearly 10 years. Prior to this, the global oil-producing countries had reached an agreement to reduce production to boost prices.

As countries loosened corona-virus-related lockdowns and fuel demand rebounded moderately, these two major index contracts both rose sharply this week. Global oil production has also been declining and helped to ease the growing supply glut.

Although the EIA crude oil inventory data was better than expected, highlighting the relief of crude oil storage pressures, which caused oil prices to partially recover from a major decline. Overall, concerns about OPEC + production cuts and compliance still keep oil prices under pressure.

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