Oil at Its Highest Since 2015

Earlier today crude oil managed to surpass the level of 68 USD per barrel, which is the highest it has been in almost three years. The increase in price was driven by OPEC’s success in cutting their production levels for over a year, as well as decreasing reserves in the United States. OPEC is supposed to keep its policy in place until the end of 2018 in order to facilitate the further stabilization of the oil market. Meanwhile, the United States have been consuming more fuel than usual due to an unexpectedly cold winter. Even though Iran has not stopped its oil operations, the fact that there are still protests there is affecting traders’ view of the market, pushing the price of oil further up. Another OPEC member, Venezuela, is also going through a crisis, albeit a financial one, which is causing a lowering in oil supply. For now investors expect the price of oil to continue growing. Nevertheless, the United States might still offset the market if they massively up their production levels, tempted by the higher prices.