OPEC Oil Price Climbs 41%

OPEC's oil price rose USD 12.3, some 41%, during Q2 2016 as compared to the year's Q1, reaching USD 42.3 per barrel, according to a report released by the Organization of Arab Petroleum Exporting Countries (OAPEC). 
Continuing drop of the US crude output, supplies' disruption in some producing countries, weak dollar, and hiking global demand for oil contributed to the crude prices' bullish trend during Q2 2016. 
However, the prices of OPEC's crudes, prompt delivery, was the highest since Q3 2015, with a USD 17.6 per barrel decline, 29.5%, as compared to the corresponding quarter of the past year. 
The second quarter of this year witnessed trades of the Brent blend at higher levels as compared to the American crude of West Texas, since the second quarter of 2015. 
However the divergence noticeably narrowed during the current quarter, reaching USD 0.02 pb, lower than USD 0.7 pb in the previous quarter, and USD four during the corresponding quarter of last year (in favor of the Brent). 
This is largely attributed to the demand hike for the West Texas crude while abundant supplies and global demand growth contributed to pushing the Brent prices high. 
There was noticeable impact of the bullish oil prices on rates of crude derivatives during Q2 2016 in all major markets. 
Gasoline average price climbed in the US Gulf Coast market, during Q2 2016, by 30% compared to the previous quarter, reaching USD 67.9 pb. In the Mediterranean market, it rose by 32% as compared to the previous quarter, reaching USD 60.6 pb. 
In the Rotterdam market, the average price rose 31% as compared with the previous quarter reaching USD 68.7 pb. As to the Singapore market, it climbed 17% as compared to previous quarter, settling at USD 57.6 pb. 
The OAPEC report forecast improvement in the global economy this year and 2017, whereas the oil demand would climb.

Source : QNA