Oil prices surged after Saudi Arabia retaliated confidence in demand with a bigger-than-projected price increase of its crude oil for Asia.
- West Texas Intermediate rose to almost $120 per barrel after initially rising to the highest level in three months.
- Saudi Arabia increased selling prices for Asian customers in July as China bounces back from virus lockdowns that have hampered the economy.
- Aramco increased its crude oil for Asian clients by $2.10 per barrel from June to $6.50 above its benchmark. The market was anticipating an increase of $1.50.
Oil prices have skyrocketed nearly 60% this year as recovering demand from economies from the pandemic coincided with the impacts of Russia’s invasion of Ukraine.
CL! up +0.27%, USOIL down -1.25%