Calgary, Alberta / London – Oil prices rose on Thursday, helping to reduce purchases at the day’s low.
Following the Brexit trade deal between Britain and the European Union, the market made overnight gains and reversed those gains, and then rebounded to a moderately high end during the US session.
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US West Texas Intermediate (WTI) crude CLc1 fell 11 cents to $ 48.23 a barrel, while Brent crude futures rose 9 cents to close at $ 51.29. The volume was light on the last day before the Christmas holiday.
Markets have grown rapidly since the end of October as vaccines progressed to approval in many countries. Worldwide, infections are still increasing, and investors’ attitudes will be clouded by the epidemic for several months.
“While the Brexit deal is supportive, COVID’s influence is a key driver in the oil market,” said Andrew Lipo, president of Lipo Oil Associates in Houston, Texas. “The oil market is awaiting widespread distribution of vaccines to bring back to the public on the road and in the air.”
New strains of coronavirus, which appear to spread the disease more quickly, have hit the United Kingdom, Nigeria and other countries.
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At least four drummakers expect their COVID-19 vaccine to be effective against new fast-spreading variants of the virus that are raging in the UK, with testing providing confirmation in a few weeks.
By making the Brexit deal, Britain survives a chaotic departure from one of the world’s biggest trading blocks, with many investors warning that further volatility in financial markets will increase.