On Thursday, the oil futures saw a rebound after rising strongly in the beginning of the week. This was because traders were concerned about additional supply disruptions due to reports that storm damage had been reported at one of the major Black Sea export terminals.

U.S. West Texas Intermediate futures posted a 0.9% increase to $122.66/barrel and futures were up 0.7% at $115.68/barrel at 0051 GMT. Futures futures also rose by $1.06 or 0.9%. U.S. Futures were slightly down in the opening of this session.

Brent futures rose more than $13 a barrel (13%), since Monday. WTI gained over $10 a bar, or 10% over that same period, as supply worries and Russia’s impact on Ukraine have increased.

On Wednesday, oil markets rose by over 5% after reports emerged that Kazakhstan’s Caspian Pipeline Consortium Terminal (CPC), had been completely shut down due to storm damage. Russia’s Deputy Prime minister said that oil supplies may be suspended for up to two months.

CPC Pipeline transports about 1.2 Million barrels of mostly Kazakh crude daily to a port along the Russian Black Sea Coast.

The decline in U.S. inventories was also a positive factor for futures. The U.S. stockpiles dropped by 2.5 million barrels while the U.S. Strategic Petroleum Reserve inventories fell by 4.2 Million barrels according to the U.S Energy Information Administration. According to market participants, there was a slight increase in supply.

According to EIA data, the U.S. oil output remained constant at 11.6 Million barrels per hour.

Edward Moya (OANDA senior market analyst) wrote that the oil market was tight. He noted that U.S. production is stable and stockpiles are continuing to fall, so oil prices only have one direction to go.

On Thursday, the U.S. President Biden will meet with NATO allies and announce new sanctions against Russia for its actions in Ukraine. Moscow refers to this as a “special operations”.