Oil prices
On Wednesday, oil prices touched high price levels, as Brent crude recorded its highest price since January, and US crude rose to its highest level in 9 months, while the decline in supply as a result of production cuts by Saudi Arabia and Russia offset the impact of fears of slowing demand from China. .
However, oil prices trimmed some of their gains, after the US Energy Information Administration announced that US crude oil inventories rose by 5.8 million barrels last week.
On the other hand, US gasoline stocks fell by 2.7 million barrels last week, and distillate stocks fell by 1.7 million barrels during the past week, compared to analysts’ expectations in a Reuters poll that both stocks would remain stable for the most part.
“We’re seeing an increase in demand for gasoline. It raises concerns about the scarcity of gasoline inventories, which are still below average,” said Phil Flynn, an analyst at Price Futures Group.
The American Petroleum Institute data showed, on Tuesday, that US crude stocks rose by 4.1 million barrels last week.
Karalambos Pesoros, Chief Investment Analyst at XM. For the brokerage, “the latest recovery is mainly driven by the pledge of major producers, such as Saudi Arabia and Russia, to keep supplies low for another month.”
Saudi Arabia, the world’s largest oil exporter, had said it would extend a voluntary cut in oil production by one million barrels per day for another month, to include September.
Russia also said that in the same month it will reduce its oil exports by 300 thousand barrels per day.
Crude oil achieved gains for the sixth consecutive week last week, supported by the decline in OPEC + supplies and hopes that the stimulus will enhance the recovery of oil demand in China.
Oil was also under pressure yesterday from Chinese data that showed crude oil imports in July fell 18.8 percent from the previous month, to their lowest daily rate since January, despite rising 17 percent from a year ago.
price movements
Brent crude futures rose 86 cents, or 0.89 percent, to $86.94 a barrel by 15:30 GMT, but it had touched $87.63 a barrel during the session, the highest price since January.
West Texas Intermediate crude rose 90 cents, or 1.10 percent, to $83.84 a barrel.
Earlier today, US benchmark crude touched $84.64, the highest price since November 2022.
2023-08-09 16:41:15
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