Oil closes at highest level since April; Brent exceeds $84

Oil drilling rigs

Oil widened gains today, May 28, after recording losses last week, as markets await the OPEC+ online meeting on June 2 and amid hopes of a recovery in demand in the US with the holiday season.

Brent crude rose by 2.55%, or $2.1, to close at $84.22 per barrel, the highest level since April 30 ($86.33).

WTI crude gained 2.7%, or $2.11, to record $79.83 per barrel, also the highest contract settlement since April 30 ($81.28).

“The upward trend this week is supported by the clear weakness in the dollar, and the growing consensus that OPEC+ will extend production cuts at next weekend’s meeting,” said Jim Ritterbusch, President of Ritterbusch and Associates, according to a Reuters report.

Air travel data also offered support to oil prices, as the number of American seats on domestic flights in May rose by 5% on a monthly basis to exceed 90 million, according to data from aviation analytics company OAG, which stated that it thus exceeded 2019 levels.