Crude oil price above $50 for the first time since June

oil barrel

West Texas Intermediate crude oil climbed above $50 per barrel for the first time since June 24.

In a report from BI, the uptick comes after a string of good news that may assist in rebalancing the supply-demand dynamics of the commodity.

Last week, OPEC preliminary agreed to a cap on production of oil and, on Wednesday, the Energy Information Association announced that inventories of oil in the US had unexpectedly decreased by 3 million barrels.

Over the past year and a half, oil has been dogged by an over-supply that has caused the price of a barrel to crash to its lowest level in over a decade. Based on recent news, it appears some of that over-supply may finally be working its way through the system.

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