Oil prices reversed during afternoon trading after dropping earlier and started to move higher again on Thursday, November 18. Brent closed the day 1.23% higher at $80.32/bbl, while WTI advanced 1.3% to $78.18/bbl.
Iran and Western countries are slated to return to negotiations on Iran's nuclear program at the end of November. The Biden administration issued a statement that the US position on the oil sanctions and other sanctions against Iran on the eve of negotiations remains unchanged, which means that the sanctions will not be lifted, and this statement sent a bullish signal to the oil market.
Oil prices gyrated wildly on Friday morning on reports that the US asked China, Japan and other major buyers to join a coordinated action to release Strategic Petroleum Reserves (SPRs), while Saudi Arabia’s oil exports reached an 8-month high in September, up for the fifth consecutive month. The confluence of these two bearish signals pushed Brent down 2.67% to $79.07/bbl, while WTI sank 2.47% to $77.06/bbl by the time of writing. Our Brent forecast for today is in the range of $78-$80/bbl.