The global oil market cheers great news! On the back of a rapid rally, crude oil prices hit a three-year high in mid-April and remain at the level over $70 a barrel.
Crude oil finds solid support from geopolitical tensions in the Middle East. The escalating military conflict in Syria arouses the risk of supply disruptions. On April 18, 2018 Brent crude benchmark grade jumped above $72 a barrel. Brent was last traded at this level in December 2014 after the US and the EU had lifted sanctions against Iran. At that time, oil prices passed the $72 mark on the way downward, not upward. Back in 2015, oil prices slumped to $27 a barrel.
The ongoing robust advance of oil prices is buoyed by a variety of factors. Apart from geopolitics, commitment of OPEC and other top oil producers to the supply-cutting deal is certainly bullish for oil prices. Besides, verbal interventions from US President Donald Trump in Twitter make a serious impact on the oil market.
To sum up, oil rose back above $70 a barrel in April amid geopolitical risks alongside some bullish developments in the market.
