Oil prices rise to two-week high on supply concerns

US gasoline and oil reserves have fallen, causing oil prices to continue to climb. Illustration photo: Oil and Gas Group

Specifically, Brent oil price increased by 0.96% to 92.92 USD/barrel, while WTI oil price increased by 1.05 USD, equivalent to 1.19%, to 89.37 USD/barrel.

Brent oil price is trading at 92.92 USD/barrel. Photo: screenshot

Oil prices rose today as traders worried that Israel's military campaign in Gaza could escalate into a regional conflict.

In addition, data from the US Energy Information Administration (EIA) showed that US crude oil and fuel inventories fell last week due to increased demand for diesel and heating oil.

Specifically, distillate fuel inventories decreased by 3.2 million barrels to 113.8 million barrels; crude oil inventories decreased by 4.5 million barrels to 419.7 million barrels, and gasoline inventories decreased by 2.4 million barrels to 223.3 million barrels.

Supporting oil prices was the statement by US Federal Reserve Chairman Jerome Powell that the US Central Bank will raise interest rates in the future.

Fed funds futures traders are pricing in a 39% chance the Fed will raise rates again in December, but just a 6% chance of a rate hike in November, according to CME Group's FedWatch tool.

Oil prices were capped after the US granted OPEC member Venezuela a six-month license to trade in its energy sector after the government reached a deal with the opposition to ensure fair elections in 2024.

The deal is not expected to quickly expand Venezuela's oil production but could prompt some foreign companies to return to Venezuela's oil fields, experts said.

The retail price of gasoline in the country on October 20 is as follows: E5 RON 92 gasoline is not more than VND 21,907/liter; RON 95 gasoline is not more than VND 23,044/liter; diesel oil is not more than VND 22,410/liter; kerosene is not more than VND 22,464/liter; fuel oil is not more than VND 16,238/kg.

Source: https://laodong.vn/kinh-doanh/lo-ngai-nguon-cung-gia-dau-tang-len-muc-cao-nhat-trong-hai-tuan-1256814.ldo