Brent Crude Oil Price Update – Late Session Surge Puts Market in Position to Challenge $113.99 – $115.29

Brent Crude Oil Price Update – Late Session Surge Puts Market in Position to Challenge $113.99 – $115.29

International-benchmark Brent crude oil futures are trading sharply higher late Friday on the back of record gasoline prices, Additionally, China looked ready to ease pandemic restrictions that could help stabilize demand sooner than expected. Finally, investors also continued to worry about tightening supplies if the European Union bans Russian oil.

U.S. gasoline futures soared to an all-time high after stockpiles fell last week for a sixth straight week, according to the U.S. Energy Information Administration (EIA). That boasted the gasoline crack spread – a measure of refining profit margins – to its highest since it hit a record in April 2020 when WTI finished in negative territory, according to Reuters.

The bullish move in gasoline could continue to drag crude oil prices higher over the near-term since demand for the fuel is likely to soar when summer driving season starts on the U.S. Memorial Day holiday weekend at the end of the month.