For the first time in over six months oil prices rose to $50 per barrel. Brent crude moved up to $50.19 during morning trading on May 26, the first time that it has hit that point since last November.
The gains add further momentum to a streak that has seen Brent and WTI gain more than 80 percent in value since touching lows in early February at $27 per barrel. For the past few weeks, oil prices bounced around a ceiling at $47 to $49 per barrel, sputtering and struggling to break through that key threshold.
But major supply outages in Canada from the wildfires around oil sands sites in Alberta knocked more than 1 million barrels per day of oil production offline for several weeks. Militant attacks on pipelines in Nigeria has disrupted an additional 800,000 barrels per day. U.S. oil production is down about 500,000 barrels per day since the start of the year, and outages from several Latin American oil producers have also contracted the supply overhang.