26.06.201914:43 Forex Analysis & Reviews: Oil will continue to go up at least for these two reasons

The cost of oil reached its highest level in almost a month, helped by disruptions in a large refinery on the east coast of the United States and industry data. This shows that oil reserves in the United States declined more than expected. Brent went up by $1.03 per barrel to $66.08 per barrel and the session high was at $66.25 per barrel. The American WTI rose by 1.13 dollars and was trading at 58.96 dollars per barrel with a maximum of 59.13 dollars per barrel.

It is expected that Philadelphia Energy Solutions (PES) will close its refinery forever after a major fire caused significant damage to the complex, according to two sources familiar with the plans said on Tuesday. PES has already announced force majeure in relation to the supply of gasoline after a fire. Futures on gasoline in the United States reached the highest level since the end of May. "Oil is growing in response to API data, combined with interruptions in refineries on the east coast of the United States. The possible shortage of gasoline helps to maintain the rising cost of oil," said Olivier Jacob of Petromatrix.

Oil reserves in the United States for the week ending June 21 fell by 7.5 million barrels to 474.5 million compared with analysts' expectations of a reduction of 2.5 million barrels. The fall in oil reserves and the breaks in the refineries occurred just at the moment when the conflict between Washington and Tehran raised fears that the supply through the Strait of Hormuz, the world's busiest oil supply route, could be interrupted. US President Donald Trump threatened to destroy part of Iran if he attacks "at least something American." Bilateral tensions rose again after Iran hit a US drone last week in the Persian Gulf. Relationships were already tense as Washington accused Iran of attacks on oil tankers in May and June, while Tehran denied any involvement.