Amid increasing concerns about supplies, oil prices rise

Oil prices rose in early Asian trading, Monday, due to fears of a scarcity of global supplies due to the escalation of the conflict in the Middle East and the war between Russia and Ukraine, while the decrease in the number of American oil exploration platforms led to upward pressure on prices.

By 00:29 GMT, Brent crude futures rose 24 cents, or 0.3 percent, to reach $85.67 per barrel, and US crude futures increased 25 cents, or 0.3 percent, to reach $80.88 per barrel.

Both crude oil prices recorded a change of less than one percent last week compared to the previous week.

“Rising geopolitical tension, coupled with an increase in attacks on energy facilities in Russia and Ukraine as hopes for a ceasefire in the Middle East decline, have raised concerns about global oil supplies,” said Hiroyuki Kikukawa, president of NS Trading, a unit of Nissan Securities. “.

He added, “The decrease in the number of American drilling rigs also increased concerns about the scarcity of supplies.”

Data from energy services company Baker Hughes showed that the number of US oil rigs fell by one rig to 509 last week, indicating lower supplies in the future.