Oil prices soar amid strong U.S. economy and Libya supply woes
Brokers report that oil prices on the New York fuel exchange continue to rise following a series of positive data from the American economy and deepening disruptions in oil supplies from Libya.
Oil prices in the USA continue to rise after positive data from the American economy.
On NYMEX in New York, a barrel of West Texas Intermediate crude for October costs $76.16, up 0.33%.
Brent on ICE for October delivery is priced at $80.20 per barrel, up 0.33%.
The U.S. economy remains strong
Commodity prices are rising due to positive data from the U.S. economy. In the second quarter, Gross Domestic Product increased by 3% on an annualized basis (SAAR) quarter-over-quarter in the second estimate, while 2.8% was expected.
Meanwhile, last week, the number of new jobless claims in the USA was 231,000 compared to the consensus of 232,000.
This data suggests that the American economy remains strong, which can positively impact commodity demand.
Key battleground
Meanwhile, there is no end in sight to the disruptions in Libyan oil supplies. This week, oil production fell by more than half to less than 450,000 barrels per day.
Oil fields in Libya are limiting operations due to a stalemate in a dispute concerning the central bank. The dispute is between eastern Libya authorities and western Libya's internationally recognized government.
Libya has suspended oil exports from five ports in the country's east. The terminals have a combined capacity of around 800,000 barrels per day.
Libya's energy resources are a vital battleground for factions vying for political dominance, causing frequent disruptions in the operation of oil fields.
