Oil rallies on upbeat OPEC demand growth outlook
Oil market scored a strong rally Thursday on upbeat OPEC demand growth outlook.
NEW YORK (AFP) - The oil market scored a strong rally Thursday, lifted by upbeat comments on the demand growth outlook from the head of the OPEC cartel of crude producers.
US benchmark West Texas Intermediate for delivery in November leaped $1.63 to $49.43 a barrel on the New York Mercantile Exchange.
Brent North Sea crude for delivery in November, the crude-oil global benchmark, finished at $53.20 a barrel in London, a gain of $1.72 from Wednesday s close.
It was the highest close for WTI since July 21 and for Brent since August 31. Both contracts had fallen Wednesday after weekly US data showed increases in US crude inventories and production.
"The optimistic remarks made about oil demand by OPEC Secretary General El-Badri still appear to be having after-effects," said Commerzbank analyst Carsten Fritsch.
Abdalla Salem El-Badri, secretary-general of the Organization of the Petroleum Exporting Countries, said that demand will rise more than projected this year.
"World oil demand is estimated to increase by 1.5 million barrels per day in 2015, higher than the initial projection," El-Badri said in a statement to the International Monetary Fund.
"In 2016, improvement in global economic activities is anticipated to support world oil demand to grow by 1.3 million barrels per day."
