By Gina Lee

Investing.com – Oil was up Monday morning in Asia, hitting its highest level in years. Increasing fuel demand, and power generators’ switch from expensive gas and coal to fuel oil and diesel, all gave the black liquid a big boost.

The price rose by 1.07%, to $85.77 at 10:58 ET (2:00 GMT), the highest since October 2018. It also rose by 1.42% to $82.89 which is its highest point since October 2014.

Brent futures and WTI futures both rose at least 3 percent during the week.

Global restrictions are expected to increase fuel consumption. An announcement by the U.S. that it will be opening its borders next month to foreign tourists vaccinated with the flu was a boost for jet fuel. Similar steps were taken in Australia, and elsewhere in Asia,” ANZ Bank analysts wrote in a note.

Note: The only thing that could increase demand in fourth quarter is gas-to-oil switching power generation, which can boost it by 450,000 barrels per hour

Investors should now be paying attention to U.S. supplies, as the number of oil-and gas rigs increased 10 to 533, Baker Hughes Co reported last week. This was the largest increase since April 2020.

China, Asia Pacific’s largest oil importer, has issued new oil import quotas, 2021, to its independent refiners. It is now the first time since 2015 that independent refiners have had to reduce import permits.

Meanwhile, said that China’s GDP grew 0.2% and 4.9% in the third quarter of 2021.