Oil Prices Continue to Rise, Reaching the Highest Levels Since November

Oil prices ended the week on a positive note, with the U.S. benchmark crude achieving its highest finish since November and marking a third consecutive weekly gain. Both the International Energy Agency and the Organization of the Petroleum Exporting Countries have issued warnings about a potential market deficit, which has contributed to the upward movement in oil prices.

According to Han Tan, chief market analyst at Exinity Group, while a technical pullback may be possible in the short term, oil benchmarks could continue to make progress towards the psychologically significant $100 level. However, Tan emphasizes that this will only happen if global supply-demand dynamics genuinely support further price increases.

On Friday, October West Texas Intermediate crude rose by 61 cents, or 0.7%, settling at $90.77 per barrel on the New York Mercantile Exchange. This marks the highest finish for the front-month contract since November 7. Over the course of the week, prices increased by 3.7%, according to Dow Jones Market Data.

Oil prices are poised to retain their upward momentum, reflecting the concerns and warnings regarding a potential market deficit. As the global economy recovers and demand for oil strengthens, it remains to be seen how high prices can go in the coming weeks and months. Stay tuned for further updates in the oil market.