Jakarta, CNBC Indonesia – World oil prices rose in the wake of supply concerns expressed by Saudi Arabia’s energy minister.
Brent crude rose 0.28% to USD 93.52 per barrel on Tuesday (10/25/2022). As he types light sweet o Wet Texas Intermediate (WTI) rose 0.87% to USD 85.32 per barrel.
Saudi Arabia’s Energy Minister Prince Abdulaziz bin Salman commented that energy reserves are being used as a mechanism to manipulate the market to sustain the pace of oil.
“It is my duty to clarify that the loss of emergency stocks could be painful in the months to come,” he said at the Future Initiative Investment (FII) conference in Riyadh.
Meanwhile, the tightening of liquefied natural gas (LNG) markets around the world and supply cuts by major oil producers have put the world in the middle of the “first real global energy crisis,” said Fatih Birol. head of the International Energy Agency (IEA).
The comments from Riyadh and the IEA are “a reminder that when it comes to the energy crisis, it’s far from over,” said Phil Flynn, analyst at Price Futures Group. “There are still concerns that the market is short of supply.”
The growing supply of US crude has limited the strengthening of crude oil prices.
U.S. crude oil inventories rose about 4.5 million barrels in the week ending Oct. 21, according to market sources citing data from the American Petroleum Institute on Tuesday. Stocks of gasoline fell by around 2.3 million barrels, while spirits stocks increased by around 600,000 barrels.
RESEARCH TEAM OF CNBC INDONESIA
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