Oil prices have surged to around $73 a barrel on Friday, due to the difficulty in the supply at the United States caused by Hurricane Ida and as the hopes of the US-China trade gave a boost to the riskier assets.
Almost three quarters of the US offshore oil production in the Gulf which is about 1.4 million barrels per day has not been supplied since late August.
Stephen Brennock an oil broker PVM said that even if the supply of the offshore crude production is restarted, the Ida effect would be felt weeks after.
Brent crude rose $1.57, or 2.2%, to $73.02 a barrel by 1330 GMT. US West Texas Intermediate (WTI) crude added $1.58, or 2.3%, to $69.72.
Analysts pointed out that the boost in the Oil and equity markets is partially caused by the news of a call between US President Joe Biden and his Chinese counterpart Xi Jinping. They added that the call raised hopes for warmer bilateral relations and gave hopes for global trade.
