View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
October 5, 2020updated 12 Oct 2020 4:44pm

Oil prices rise after Trump’s doctors raise hope of hospital discharge

Oil prices have edged up 2% after comments from doctors that US President Donald Trump could be discharged from hospital as soon as 5 October as he continues to recover from the coronavirus.

By Himaja Ganta

Oil prices have edged up 2% after comments from doctors that US President Donald Trump could be discharged from hospital as soon as 5 October as he continues to recover from the coronavirus.

The US president’s discharge news comes just a few days after he tested positive for the virus.

Update on Trump’s health eased some of the political uncertainty in the global markets.

Brent LCOc1 futures rose $0.83 or 2.1% to reach $40.10 a barrel, while US West Texas Intermediate (WTI) crude CLc1 futures increased by $0.89 or 2.4%, touching $37.94 a barrel, Reuters reported.

Prices were also supported as oil and gas major Equinor shut four of its Norwegian offshore oil and gas fields as workers expanded their strike.

According to the Norwegian Oil and Gas Association, the workers’ strike could reduce Norway’s production capacity by approximately 330,000 bpd of oil or 8% of its total production.

Oil prices fell over 4% on 2 October due to uncertainty over Trump’s health.

It added to concerns about rising cases of coronavirus infections, which could deter a global economic recovery.

Phillip Futures senior commodities manager Avtar Sandu said: “I think it’s the improving health of the US President. Over the weekend, there were a lot of conflicting reports on his health, but generally, he’s improving. He could be back to work soon.”

Meanwhile, the Organization of the Petroleum Exporting Countries (OPEC) member Libya has seen a ramp-up in oil production, which has risen nearly three-fold to hit 270,000 bpd last week.

OCBC economist Howie Lee said: “That very fragile supply deficit that we have looked like it’s going to be gone if Libya does produce an extra half a million bpd more alone.”

Related Companies

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Offshore Technology