The Crude oil price per barrel is increased by 13 cents or 0.2%. These oil prices have been climbed in the Asian trade. The prices have surged due to increasing demand. The prices of the Brent Crude climbed by 7 cents high than the previous year. These prices are high than the previous two-year record. Both the Brent Crude futures for August and U.S. West Texas Intermediate Crude for July are analysts expect growth in demand may outrun the supply.
The outrun is expected despite the return of the Iranian Crude oil and condensate exports. Iran is in communication with the world powers Tehran and Washington. Iran desires that the two countries must take on the sanctions and nuclear activities. Iran has been in talks to enable the countries to return to full compliance with the 2015 nuclear agreement.The analysts at ANZ said that the demand is outstripping supply as the supply is 650,000 barrels per day and the demand is 950,000 barrels per day in the 4t and 3rd quarters.
They added that the demand is outstripping given the 500,000 BPD increase by Iran. In the wake of the concerns, the Organization of the Petroleum Exporting Countries, along with the allies and Russia, will conduct a meeting. The OPEC+ is expected to gradually ease the supply cuts of Crude oil. The Crude output of the individual United States rose to 14.3% in the month of March. The information is revealed by Energy Information Administration. The data revealed by Baker Hughes states that oil and gas rigs prices are rising continuously.