High oil prices, based on a drop in US stocks after the failure of OPEC meeting

Oil prices rose on Friday during the European market to continue to rise for the second day in a row, based on the decline in crude inventories in the United States, the biggest oil consumer in the world, after the Organization of Petroleum Exporting Countries "OPEC" meeting failed to agree on new production policy.

By 08:50 GMT, US crude rose to $ 49.20 a barrel from the opening level of $ 48.99 and recorded the highest level of $ 49.38 and the lowest level of $ 48.97.

Brent rose to $ 50.15 a barrel from the opening level of $ 49.95, and recorded the highest level of $ 50.31 and the lowest level of $ 49.91.

US crude oil "July delivery" conclude trading yesterday higher by 0.2 percent after the weekly report of US Energy Agency, and Brent, "August contracts" stepped up 0.4 percent.

Oil prices posted a rise of more than 6 percent over the _ month of May, the fourth monthly gain respectively, and prices posted a rise of about 85 percent from its lowest level in 12 years, which reached earlier in the year, _ in light of the decline in shale oil production in the United States to the levels of 2014, in addition to supply disruptions from some countries such as Canada and Nigeria.

US Department of Energy said yesterday that crude inventories in the country fell by 1.4 million barrels the week ending 27 May, the second weekly decline in a row to total 535.9 million barrels, while expectations pointed to a drop of 2.7 million barrels.

For the production of shale oil Agency said that oil production fell by 32 thousand barrels per day in the ninth weekly decline in a row to total 8.738 million barrels, the lowest level of production since September 2014.

Yesterday in the Austrian capital Vienna, the meeting of the Organization of Petroleum Exporting Countries "OPEC" ended at the ministerial level without reaching an  agreement on new production policy, and the organization has maintained its current policy, which depends on high production pumping to defend market shares against oil producers outside OPEC.

And member countries agreed on the choice of the Nigerian Mohammed Barkindo as the new General Secretary of the Organization after Lippi Abdullah al-Badri, and Barkindo took the presidency of the national oil company in his country from 2009 to 2010 and served as Acting General Secretary of OPEC in 2006.

OPEC meeting failure was expected on a large scale in markets, especially in light of the ongoing conflict between Saudi Arabia and Iran, which is in the middle of last April caused the failure of activating the tentative agreement between OPEC and Russia on the freezing of global production at the Jan. levels.