This week crude prices were more stable. Oil gained amid stronger gasoline demand in the US and speculation that some of world’s large producers will complete an accord to freeze output. Nigeria, the biggest oil producer in Africa, has supported the idea, while Iran and Iraq are seeking to boost output, as in the past few years both countries have reduced their market shares due to the sanctions and the war. Gasoline stockpiles in the U.S. fell by 2.24 million barrels to 256.5 million last week, according to the Energy Information Administration. However, US crude inventories grew by 3.5 million barrels to a new all time high of 507.6 million. The EIA said US crude oil output will decline by 600,000 this year and the global oil market will begin rebalancing in 2017. Meanwhile, the National Bank of Abu Dhabi predicted that U.S. benchmark WTI will trade in a range between $25 and $45 a barrel for the rest of 2016.
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