The Trading Room

OPEC officials and analysts say that an oil rally may continue in the next few months, and prices could top $100 a barrel as demand shrugs of the spread of the omicron Covid-19 variant.

The derivatives market of the NSE was fairly flat in activity compared to Tuesday’s trading with 10 single stock futures valued at Kes 409,100.

OPEC+ supply constraints and the ongoing increase in global oil demand will likely keep oil prices well supported in the coming months.

Benchmark 10-year U.S. Treasury yields touched a two-year peak, while the dollar hit a six-day high earlier in the session, making gold expensive for overseas buyers.

Some oil producers within the Organization of the Petroleum Exporting Countries (OPEC) are struggling to pump at their allowed capacities, due to underinvestment and outages.