The British pound rose sharply overnight, and the WSJ Dollar Index, which
measures the U.S. currency against a basket of 16 others, was recently down
0.3%. That makes dollar-denominated oil is less expensive for other currency
holders.
Despite a combination of bearish U.S. oil inventory data and forecasts for stubborn oil gluts in early 2020 so far this week, Friday's gains mean Brent crude and U.S. crude have risen 7.7% and 4.9% respectively so far this month.
Both benchmarks received a boost last week when OPEC and its allies completed a new production deal to deepen cuts by a total of 1.7 million barrels a day to last through the end of March.
The impending change in the amount of sulfur allowed in marine fuel oil, known as 'IMO 2020', due to take effect at the end of the month was also boosting Brent and U.S. crude prices, with lower sulfur fuel tending to be taken from sweeter crude oil varieties.
Despite a combination of bearish U.S. oil inventory data and forecasts for stubborn oil gluts in early 2020 so far this week, Friday's gains mean Brent crude and U.S. crude have risen 7.7% and 4.9% respectively so far this month.
Both benchmarks received a boost last week when OPEC and its allies completed a new production deal to deepen cuts by a total of 1.7 million barrels a day to last through the end of March.
The impending change in the amount of sulfur allowed in marine fuel oil, known as 'IMO 2020', due to take effect at the end of the month was also boosting Brent and U.S. crude prices, with lower sulfur fuel tending to be taken from sweeter crude oil varieties.
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