Brent oil was up 0.5%, reaching $84.12 per barrel, while crude gained 0.7% to $81.82. Both are getting close to recording gains in six out of the previous eight sessions. To cope with the pandemic’s effect on the markets, OPEC+ members are trying to keep the production in check by holding back over 3 million barrels per day, while sanctions on Iran pin back its exports. Despite raising their output targets every month, technical difficulties have prevented multiple OPEC+ countries from reaching their quotas.
European jet fuel refining margins are at pre-pandemic levels regardless of the recent supply issues as the global aviation industry recovers.
US Inflation
But the oil prices weren’t the only ones hitting records. The Labor Department revealed that the consumer price index (CPI) climbed 7% in 2021, registering the biggest annual gain since 1982.
According to Federal Reserve Chairman Jerome Powell, the impact of the current COVID-19 on the US economy will be “short-lived,” and the central bank is ready to tighten the monetary policy.
Sources: Bloomberg.com, investing.com