Oil finally broke out of the narrow range it has been trading in for over a month now, with ICE Brent trading as high as US$46.23/bbl at one stage yesterday, although the market was unable to hold onto all of these gains going into the close.
The key drivers behind the move higher appear to be growing hopes for US stimulus, further weakness in the USD – with the dollar index falling to levels last seen in the first half of 2018, and the EIA reporting that US crude oil inventories declined by 7.37MMbbls over the last week- which was significantly more than the market was expecting.
Union Jack Oil plc (LON:UJO) is an onshore oil and gas exploration company with a focus on drilling, development and investment opportunities in the United Kingdom hydrocarbon sector.