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Oil prices rose modestly today , resisting the sharp decline in prices for some other risk assets on news of further production cuts in Africa and expectations revival of growth in demand for oil.
The data showed that Libyan oil production fell even more over the weekend , falling to 230,000 barrels per day after a new protest that forced the mine to close El Shararah . Before the start of the protests across the country in the middle of last year, Libyan oil production was at 1.4 million barrels per day .
"While the situation in Libya remains volatile , world oil prices will rise ," said
The oil market was also supported by a fairly optimistic G20 meeting of heads in Sydney. Finance ministers from the G20 agreed to implement policies that will increase global GDP by more than $ 2 trillion in the next five years. This amount is equivalent to the increase in global GDP by 2% compared with an expected growth in the next five years . Such a policy should also create tens of millions of jobs.
Also, higher prices helped German data , which showed that the business climate indicator unexpectedly strengthened in February to the highest level since July 2011 , despite the drop in expectations. These results are presented on Monday institute IFO. Business climate index rose to 111.3 from 110.6 in January. According to the average expectations index was slightly rise to the level of 110.7 . In addition, the current conditions index improved to 114.4 in February from 112.4 a month ago. The result was higher than expected level of 112.8 . On the other hand , the expectations index fell to 108.3 in February from 108.9 in January ( forecast he had to go down to 108.1 ) .
Investors also watched the global political tensions and the potential for further disruptions in oil exports . At the same time, investors remained concerned about the overall economic situation in China, which , according to experts , this year will be the largest consumer of raw materials . According to the newspaper Shanghai Securities News, China Industrial Bank and some other banks have restricted lending to the real estate sector and related industries , such as steel and cement .
April futures price for U.S. light crude oil WTI (Light Sweet Crude Oil) rose to $ 102.81 per barrel on the New York Mercantile Exchange (NYMEX).
April futures price for North Sea Brent crude oil mixture rose 24 cents to $ 110.43 a barrel on the London exchange ICE Futures Europe.
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