The price of crude oil increased by 44 cents
According to Mehr News Agency to According to Reuters, oil prices rose in the first hours of trading on Monday. The reason can be found in the concern about the disruption of Middle East oil supply following the escalation of conflict in this region and the effect of the Federal Reserve’s interest rate reduction on demand.
The price of a barrel of Brent North Sea oil today increased by 44 cents equal to 0.59% to 74 dollars and 93 cents. Texas Intermediate West oil is traded at 47 cents, equivalent to 0.66% increase, to $71 and 47 cents.
The lowering of the US Federal Reserve’s interest rate and the reduction of oil reserves in the country following the Francine storm caused an increase in the price of oil in Saturday’s trading. Last week, oil experienced its second weekly price increase.
The US Federal Reserve lowered the interest rate by 0.5% last Wednesday, which was much more than many analysts expected.
Cutting interest rates usually boost economic activity and increase demand for energy, but analysts and market participants are concerned about the weakness of the US labor market.
Hezbollah of Lebanon and the Zionist regime exchanged heavy fire on Sunday.
This conflict intensified last week following the explosion of thousands of pagers and walkie-talkies used by party members.
