Crude oil prices started off the month on a positive note as it rose during the first week of December. The recent development in the Middle East including the sanctions on Iran helped keep oil prices high. Furthermore, the recent positive reports on the US economy including the growth in employment by 120k, may have also helped rally the financial markets including the crude oil market.
By the end of the week, WTI oil price rose by 2.8% and Brent price by 0.91%; as a result, the difference between Brent oil and WTI oil slipped to $9.39/b on Friday.
Here is a review of the price changes during last week (November 28th to December 2nd) of crude oil (Brent oil and WTI), and a summary of the recent EIA crude oil and petroleum stockpiles report:
Crude Oil Prices – Highlights
WTI oil price (spot) rose during last week by 2.80%; its weekly average price on the also inclined by 3.23% as it reached $99.9 per barrel, compared with last week’s $96.78 per barrel. The average daily percent change of crude oil price (WTI) was 0.85%.
Europe Brent oil price also inclined during the week by 0.91% and the average price rose by 3.19% compared with previous week’s average.
The difference of Brent over WTI spot prices continued to slip during the week; its average premium was $10.45; it finished the week at $9.39. I review the recent development in the premium of Brent oil over WTI oil in a recent post.
Crude Oil Charts
The following charts show last week’s (for the week ending on December 2nd) changes of WTI spot oil price, NYMEX Futures Prices (Short term delivery) and Europe Brent spot oil price:
The first chart presents the development of WTI and Brent oil prices during the week: as seen in the chart below, WTI oil price slightly inclined during the week, while Brent oil price didn’t have a clear upward trend.
The final chart shows the daily percent changes (i.e. changes around the trend) of crude oil prices (WTI spot oil, WTI future, Brent spot oil):
Crude oil prices started the week rising and as the week progressed the growth rate changed from positive to negative until Friday when both energy prices rose.
Crude Oil Stockpiles –Highlights:
According to the last EIA report on the U.S Petroleum market, for the week ending on November 25th, U.S. Petroleum and crude oil stockpiles changed direction and rose by 7.6 million barrels to reach 1,740.41 million barrels. The current oil stockpiles are still 92,238 million barrels below oil stockpiles levels recorded during the same week in 2010.
For further reading:
- Will the Sanctions on Iran affect Oil Prices?
- Weekly Outlook for 5-9 December
- Natural Gas Prices Monthly Outlook for November 2011
Previous issues of weekly report: