Oil prices remained green on Thursday during the final session of 2020, after a turbulent year in which prices fell due to the covid-19 pandemic.
A barrel of North Sea Brent for delivery in March, on day one as a benchmark contract, moved up 0.33% or 17 cents to $ 51.80.
The US barrel WTI for February, for its part, rose 0.24% or 12 cents to $ 48.52.
The market is closed on Fridays, the first day of the year and a public holiday in many parts of the world.
In the week, shortened towards the end of the holiday season, the price of black gold rose slightly, benefiting especially Wednesday from the weekly US oil reserves report.
“The big surprise is the very high level of US exports, it is proof that demand remains strong despite the refinements,” said Stephen Innes, an analyst at Axi.
On the steep rise since the initial announcements of the covid-19 vaccines, Brent and WTI advanced 8% and 6.5% respectively in December.
But this achievement is far from wiping out the decline of the pandemic, which has greatly reduced fuel and energy consumption.
In 2020, the price of Brent fell 22% and that of WTI 21%.
“Actors in the markets are not willing to forget a year they would like to forget: the year when oil prices fell below zero. That shows that with commodities you never have to say never,” summarized Phil Flynn. Futures Group.
Analysts look forward to 2021, where short-term demand outlook should remain weak, even as consumption may pick up again with vaccination campaigns.
“Prices started to keep going up, provided that unpleasant surprises are avoided,” warned Jeffrey Halley, an analyst at Oanda.
Even more optimistic, Phil Flynn says that “with the likely return on demand, the market will be under-supplied by the end of 2021.”
“The tougher regulations with a new Biden administration in the United States will also hinder the resumption of US oil production,” he said, adding that demand will improve before production. This suggests higher prices in 2021 and beyond.
Monday begins the oil year with the monthly meeting of the Organization of the Petroleum Exporting Countries (OPEC) and its partners, including Russia.
At the beginning of December, member states decided to increase their production, which they voluntarily limit, by 500,000 barrels per day to avoid flooding the market with the originally planned two million barrels per day.