Oil steadies after volatile session
In response to higher oil prices, US energy firms added oil and natural gas rigs for a second week in a row. PHOTO: REUTERS
Oil prices steadied after whipsawing in a volatile session on Tuesday, as traders weighed the effect that higher energy costs could have on the global economic recovery. Brent crude fell $0.32 to $83.33 a barrel by 1653 GMT. It earlier hit a high of $84.23 a barrel and a low of $82.72 a barrel. On Monday, it hit $84.6, its highest since October 2018. US oil futures rose $0.06 to $80.58 a barrel, after ranging between $81.62 and $79.47. Authorities from Beijing to Delhi scrambled to fill a yawning power supply gap on Tuesday, roiling global stock and bond markets on worries that rising energy costs will stoke inflation. Power prices have surged to record highs in recent weeks, driven by shortages in Asia and Europe, with an energy crisis in China expected to last through year end, crimping growth in the world’s second-largest economy and top exporter. In London and southeast England, a tenth of fuel stations remained dry due to panic fuel buying last month, the Petrol Retailers Association said.
Published in The Express Tribune, October 13th, 2021.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.