WEEKLY ENERGY RECAP: April 9, 2021

The WTI crude oil price dropped to $59.32 per barrel but has still been trading in the narrow range between $58 and $61 for three weeks. (Shutterstock/File Photo)
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Updated 10 April 2021
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WEEKLY ENERGY RECAP: April 9, 2021

  • Oil prices are still moving in a narrow range, despite the OPEC+ plan to increase output

RIYADH: On the week’s closing, oil prices deteriorated and made the first weekly drop in three weeks. The Brent crude oil price dropped to $62.95 per barrel, while still trading in the narrow range between $61 and $65 for more than three weeks.

The WTI crude oil price dropped to $59.32 per barrel but has still been trading in the narrow range between $58 and $61 for three weeks, as most of Europe and the US were partially on holidays and some investors may have positioned themselves ahead of the holidays and therefore affected the market one way or the other.

Now that it looks like the US is adding 916,000 jobs for March, it may give traders the idea that more demand is coming into the picture, despite the fact the EU is still in lockdown. That might keep the upward momentum dampened a bit but, on the other hand, it still looks bullish as global oil inventories continue to fall and Brent’s futures price curve remains backwardated.

Oil prices are still moving in a narrow range, despite the OPEC+ plan to increase output, returning 2 million barrels per day (bpd) over the coming three months, despite the increasing lockdown measures.

Though the US Energy Information Administration (EIA) has acknowledged the heightened uncertainty of oil demand recovery, EIA April’s Short-Term Energy Outlook (STEO) report again forecast rising prices for both Brent and WTI. EIA forecasts Brent crude price to average $62.28 per barrel in 2021 and $60.49 per barrel in 2022. EIA forecasts WTI to average $58.89 per barrel in 2021 and $56.74 per barrel in 2022.

EIA forecasted global oil demand to average 97.7 million bpd in 2021, which is higher by 5.5 million barrels per day from the 2020 global oil demand average.

EIA has lowered its forecast for the US oil production to average 11.04 million bpd this year, while last month EIA’s STEO forecast was 11.15 million bpd. EIA reported US crude inventories fell by 3.5 million barrels to 501.8 million barrels and expects that gasoline prices could hit their highest in three years this summer.

The latest figures from the Commodity Futures Trading Commission on April 6, 2021 showed that long positions on crude oil futures on the New York Mercantile Exchange numbered 655,327 contracts, down by 20,166 contracts from the previous week (1,000 barrels for each contract). It is the fourth consecutive weekly drop in positions.


Qatar CPI falls in January, annual inflation rises 2.28% 

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Qatar CPI falls in January, annual inflation rises 2.28% 

JEDDAH: Qatar’s consumer price index climbed 2.28 percent in January from a year earlier, official data showed, while registering a 2.22 percent drop from the previous month.

The decline from December was led by an 11.97 percent drop in recreation and culture prices, alongside decreases in miscellaneous goods and services, restaurants and hotels, clothing, food and housing-related costs, Qatar News Agency reported, citing data from the National Planning Council. 

This was followed by miscellaneous goods and services at 3.46 percent, restaurants and hotels at 1.90 percent, clothing and footwear at 1.15 percent, food and beverages at 0.59 percent, and housing, water, electricity, gas, and other fuels at 0.17 percent. 

Qatar’s inflation remains relatively contained compared with wider global price swings, helped by stable housing costs and government subsidies. Across the region, trends are mixed, with Saudi inflation easing to 1.8 percent in January while Egypt’s annual rate slowed to 10.1 percent even as monthly prices jumped. 

“The annual increase, comparing January 2026 with the same month in 2025, was driven by rises in eight groups,” QNA reported, noting that the largest year-on-year increases were seen in miscellaneous goods and services, which rose 12.40 percent. 

Price increases were observed in the transport group at 0.54 percent, followed by communication at 0.32 percent and health at 0.27 percent. Furniture and household equipment rose 0.20 percent and education edged up 0.06 percent, while tobacco recorded no change. 

This was followed by recreation and culture at 4.90 percent and clothing and footwear at 3.25 percent. Food and beverages rose 2.87 percent, furniture and household equipment 2.37 percent, education 2.08 percent, housing and utilities 1.21 percent, and communication 0.40 percent. 

In contrast, QNA further reported, three groups saw annual declines: restaurants and hotels, down 2 percent; health, down 1.38 percent; and transport, down 0.48 percent, while the tobacco group remained unchanged. 

“When calculating the CPI for January 2026 excluding the housing, water, electricity, gas, and other fuels group, the index reached 114.57 points, down by 2.65 percent compared with December 2025, and up by 2.51 percent compared with January 2025,” the QNA report added. 

The index — which tracks inflation across 12 main expenditure groups covering 737 goods and services — is based on 2018 as the reference year, drawing on the Household Income and Expenditure Survey conducted in 2017–2018.