Oil prices rose for the second time on Friday. driven by economic growth in the United States stronger than expected and hopes that demand in China will recover quickly. Due to patients and deaths from COVID-19 This is down from last month’s high.
Brent futures rose 30 cents, or 0.34%, to $87.77 a barrel by 0321 GMT, while U.S. crude futures rose 34 cents to $81.35 a barrel, up 0.42%. Both benchmarks gained more than 1% in. Thursday
“Oil could struggle to make significant moves towards the end of the week as many traders will wait to see what will happen next week’s two major events. OPEC+ virtual meeting on output and FOMC decisions,” said Edward Moya, Senior Market Analyst at OANDA.
OPEC+ representatives will meet next week to review crude oil production levels. Amid continued support for crude oil prices from strong demand for jet fuel and diesel, The Federal Reserve will decide to raise interest rates again. When inflation cools and gross domestic product better
U.S. crude gains were limited by 4.2 million barrels of stock built at Cushing, the pricing hub for NYMEX oil futures, earlier this week.
However, oil markets were buoyed by optimism on the first day of the Chinese stock market return. As the reopening of China continues to play a major role in boosting demand, CMC Markets analyst Tina Teng said.
seriously ill COVID-19 cases in China drop by 72% from its peak earlier this month. while the daily deaths of COVID-19 patients Hospitalizations fell 79% from a peak, pointing to a return to normalization in China’s economy and boosting expectations of a recovery in oil demand.
“A positive factor in the short term is US refineries. The recent shutdown pushed up gasoline prices. Although the amount of crude oil inventories in the US. will hit the highest level in 16 months,” Teng said.
