On Monday, oil prices rallied amid the US regulator's approval of the COVID-19 vaccine from Pfizer and BioNTech, boosting investor optimism about the outlook for global economic recovery and oil demand, Interfax reports.
The cost of February futures for Brent oil on the London ICE Futures exchange was $50.38 per barrel, which is $0.41 (0.82%) higher than the price at the previous session's close. As a result of trading on Friday, these contracts fell by $0.28 (0.6%) to $49.97 per barrel.
The price of January futures for WTI at electronic trading on the New York Mercantile Exchange (NYMEX) reached $46.9 per barrel, which is $0.33 (0.71%) higher than the previous level trading. On Friday, futures fell in price by $0.21 (0.5%) to $46.57 per barrel.
By the end of last week, Brent rose in price by 1.5%, WTI – by 0.7%. In the past week, futures prices for the next delivery of both varieties reached highs since March 4.
Over the weekend, the US Food and Drug Administration (FDA) agreed to the Pfizer and BioNTech coronavirus vaccine's emergency use in the country.
This decision will allow the federal authorities to launch a mass vaccination campaign against coronavirus soon. The first shipments of the drug are to begin on Monday.
“The introduction of vaccines will have a positive impact on the demand for automotive fuels, and ultimately for aviation fuel,” says Axi global oil strategist Stephen Innes. "Such a substantial optimism inherent in oil prices, I think, is fully justified."
Earlier it was reported that in 2021 Iran intended to sell more than 2.3 million barrels of oil per day.