Oil prices increased on April 20, swamped by fears about tightening supply as the European Union (EU) considers a possible ban on Russian oil imports, which would further impede global oil commerce.
After reaching a high of $109.80, Brent oil futures finished up $1.53 to close at $108.33 a barrel. After earlier reaching a high of $105.42, U.S. West Texas Intermediate (WTI) crude futures ended up $1.60, or 1.6 per cent, at $103.79.
Consumers also reacted to continued disruptions in Libya, where blockades at major fields and export terminals have resulted in a loss of about 550,000 barrels per day of oil supply.
Brent has climbed about 8 per cent in the last seven days of trading, but the advance has been calm and steady, unlike the frenzy that surrounded Russia’s invasion of Ukraine in late February and again in mid-March.
Last week, US crude exports increased to more than 4 million barrels per day, slightly countering Russian crude losses caused by US and European bans.
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The oil market is still constrained, with the Organization of Petroleum Exporting Countries and its affiliates, led by Russia, striving to achieve output commitments and US crude inventories plunging dramatically in the week ending April 15.
