Brent crude trades above $45 a barrel on news of COVID-19 vaccine

On Monday, oil prices continued to rise on expectations that the emergence of vaccines against COVID-19 will bring the pandemic under control. Optimism over vaccine development success drove oil prices up nearly 20% in November, Interfax reports.

Last Friday, the American company Pfizer and Germany's BioNTech submitted a request for emergency use of their coronavirus vaccine in the United States. The head of the American state program for preparing for vaccinations, Monsef Sloughi, said that vaccinations could begin on December 11-12.

January futures for Brent rose in price on the London ICE Futures exchange by $0.21 (0.47%) to $45.17 per barrel. On Friday, Brent rose by $0.76 (1.7%) to $44.96 per barrel.

By this time, January futures for WTI were rising in price in electronic trading of the New York Mercantile Exchange (NYMEX) by $0.11 (0.26%) to $42.53 per barrel. The contract rose by $0.52 (1.2%) to $42.42 per barrel during the previous session.

The increase in the incidence of COVID-19 in the United States in November is almost 110,000 per day, higher than in October.

“We can see tremendous progress in vaccine development, but the COVID-19 situation in Europe and North America is likely to get worse shortly,” said Vandana Hari, founder of Vanda Insights, a consulting company. "Vaccines will not be able to stop the current waves of the pandemic."

Recall, oil production in Libya was increased by 1.25 million barrels per day.

As reported, the OPEC + countries should compensate for more than 2 million bpd oil overproduction in 2020.

Tags: oil, coronavirus, price, decline in production, crisis, economy, oil production

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