Oil rises as market looks at how to fill supply gap

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The price of oil resumed its move higher on Thursday morning after a sharp drop on Wednesday.

Benchmark U.S. crude rose $3.33 to $111.99 per barrel in electronic trading on the New York Mercantile Exchange.The price of U.S. crude fell 12% Wednesday, easing a run-up caused by fears that the war might disrupt Russian supplies.The price peaked at $127.98 on Mar. 8, and is still up 10.05% month-to-date and 42.89% year-to-date.

Brent, the price basis for international oil trading, fell 13.2% in its biggest daily decline in almost two years. Comments from the United Arab Emirates energy minister and the country's ambassador to Washington sent conflicting signals. Oil fell after the United Arab Emirates urged OPEC partners to increase production in the face of Russia energy sanctions and the resulting price squeeze in the market.

 

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