WTI crude started the week lower after last week’s news of voluntary supply cuts from Saudi Arabia had sparked a rally. Vaccine news began this multi-week rally in earnest back in November, and the market marched steadily higher each week, supported by a weaker dollar until recently.
The $1.9 Trillion economic stimulus package announced by President-Elect Biden this week helped put upward pressure on the market, but growing numbers of coronavirus cases in China and more stringent lockdown restrictions in Europe gave pause to the rally. In addition, bearish product inventory numbers reported by the EIA mid-week put a cap on gains.
Prices in Review
WTI Crude opened the week at $52.58. It charted a choppy path to close the week higher. Crude opened Friday at $53.80, an increase of $1.22 (2.3%).
Diesel opened the week at $1.5855. It followed crude throughout the week to close the week higher. Diesel opened Friday at $1.6201, a gain of 3.5 cents (2.2%).
Gasoline opened the week at $1.5470. It followed a choppy path to eke out a small gain for the week. Gasoline opened Friday at $1.5597, a gain of 1.3 cents (0.8%).