Crude oil prices increase this week

Crude oil prices increase this week

A rise in crude oil prices resulted in a week-ending price of $35.92 per barrel.

That price translates to a 9% increase for the week of February 29-March 4, closing at its highest level since early January.

In this same week, the number of crude rigs fell by eight to 392. It is the 11th straight week active rigs have been cut, leading to the price jump.

This time last year, drillers were operating 922 rigs in US oil fields.

Over the past 12-18 months the oversupply of oil, without the demand had caused crude prices to plunge. Experts said cuts in the US oil production over the past few weeks are providing some price support.

Cuts in production helped prices, although crude inventories rose to a record 517.98 million barrels last week.

Oil-producers are expected to meet this month to discuss potential action.
Experts hope to have prices up to $40 by the middle of this year.

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