SULAIMANI (ESTA) — Oil markets climbed for a sixth day on Tuesday, reversing earlier losses, on fears over tight supply while surging prices of liquified natural gas (LNG) and coal also lent support.
Brent crude futures gained $1.04 cents to $80.57 a barrel at 0659 GMT, after reaching its highest since October 2018 at $80.35 earlier in the session.
U.S. West Texas Intermediate (WTI) crude futures rose $1.04 cents to $76.49 per barrel, hitting its highest since July 6.
“Investors remained bullish as supply disruptions in the United States from hurricanes are continuing for longer than expected at a time when demand is picking up due to easing lockdown measures and the wider rollouts of COVID-19 vaccinations,” Reuters cited Chiyoki Chen, chief analyst at Sunward Trading, as saying.
Hurricanes Ida and Nicholas, which swept through the U.S. Gulf of Mexico in August and September, damaged platforms, pipelines and processing hubs, shutting most offshore production for weeks.
The supply issues are occurring as countries ease their coronavirus movement restrictions, potentially boosting demand.
