Prices of oil fell as United States shale drillers add more rigs last week

Oil Prices

Monday, the addition of rigs by United States shale drillers last week made prices of oil fall. The international benchmark: Brent crude futures settled at $63.34 per barrel, which was down by 0.6% or 39 cents from their last close. The United States West Texas Intermediate was seen trading at $57.90 per barrel, which was 0.8% or 46 cents lower from their last settlement.

Despite of this, prices of oil is still seen holding firm, hovering near to their highest since mid-2015.

In accordance to the U.S. shale drillers adding more rigs, energy services firm: Baker Hughes claimed that drillers in the U.S. added two oil rigs in the week to December 1, showing an approximate count of rigs up to 749, which is considered as the United States’ highest since September.

United States supply ascended in September, rising to an approximate amount of 9.5 million barrels per day, and is considered as its highest monthly supply since April 2015.

In addition, BMI Research mentioned that the extent of United States output growth as well as the strength of global oil demand in 2018 still remain uncertain, and that the Organization of Oil Exporting Countries specifically its de-facto leader: Saudi Arabia will extend its effort to manage the market.

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