Oil prices increased by about 30% year on year in the July-September period, as supply was limited due to production restrictions agreed upon by OPEC and its allies, led by Russia.
Brent oil for November delivery fell roughly 0.1% on Friday, to $95.31 per barrel, but was up 2.2% for the week, 9.7% for the month, and 27.3% for the quarter. Meanwhile, November WTI crude dipped a percentage point to $90.79 a barrel, after posting a 0.8% weekly gain, an 8.6% monthly gain, and a 28.5% quarterly gain.
Experts think that the supply restrictions announced by the Organisation of Petroleum Exporting Countries and its partners, known collectively as OPEC+, will dominate.
Earlier this month, oil-producing heavyweight and de-facto leader of OPEC Saudi Arabia extended its one million barrel per day (bpd) voluntary oil production cut until the end of the year. Meanwhile, its OPEC+ ally and the world’s second-largest crude producer, Russia, has also recently pledged to extend its voluntary cut in oil exports by 300,000 bpd until the end of the year.
In order to stabilise the domestic fuel market, the Russian government imposed a temporary ban on overseas sales of diesel and petrol last week.
Furthermore, and of special worry, stockpiles at Cushing, Oklahoma, the delivery hub for Nymex WTI futures, declined by 943,000 barrels in the fourth week of September due to strong refining and export demand.
