Thu Sep 12 07:55:55 UTC 2024: ## Oil Prices Surge After Hurricane Francine Disrupts Gulf Production
**NEW YORK** – Crude oil prices jumped over 2% on Thursday, closing above $68 per barrel, as Hurricane Francine’s passage through the Gulf of Mexico disrupted oil production.
The storm, which has since been downgraded to a tropical depression, caused the shutdown of over 730,000 barrels per day of oil production in the region, according to the Bureau of Safety and Environmental Enforcement.
This surge follows a recent slump in oil prices, which reached their lowest point since December 2021 on Tuesday. Analysts attribute this decline to concerns over OPEC’s commitment to maintaining production cuts at lower price levels.
However, UBS analyst Giovanni Staunovo believes the recent rebound is just the beginning. “With likely further oil inventory declines ahead as supply lags demand growth, and given low speculative positioning, we retain our positive price outlook,” he said. Staunovo expects Brent crude oil to climb back above $80 per barrel in the coming months.
First Piper 