Tuesday, April 16, 2024

Oil prices are rising, and Brent crude is hovering above $ 105


Rose Oil pricesToday, Wednesday, in turbulent trade, is supported by fears of a widening supply deficit due to political tensions between Russia and Ukraine.

Oil prices began trading higher on Wednesday, before falling again under pressure from economic data from China and Japan, which have been showing a decline in demand for crude oil.

This is in line with Moscow’s announcement that peace talks with Ukraine have ended in a stalemate, which has raised fears over the lack of oil supplies due to geopolitical tensions.

Oil prices today

08:16 AM GMT (Mecca time 11:16 AM), futures pricesBrent crude – June delivery – more than 0.68%, reaching $ 105.35 a barrel.

Future contract prices have also risenWest Texas Intermediate Crude Oil – May delivery – 0.58%, rising to $ 101.18 per barrel.

Following the release of the monthly OPEC report, oil prices closed higher at around 7% on Tuesday, lowering expectations for growth. Global demand for oil This year, the repercussions of the Russian invasion of Ukraine on the world economy and the downgrade of oil supplies from outside the organization were downgraded.

China and Japan data

Weak economic data from China and Japan limited oil price gains; China’s crude oil imports fell 14% year-on-year for the second straight month.

Strict controls on the growing corona virus have also affected the demand of the world’s largest crude importer.

In February, Japan recorded its biggest monthly drop in major machine orders in almost two years, hit by a sharp drop in demand for information technology and other service providers.

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Geopolitical tensions

Jeffrey Haley, OANDA’s chief market analyst, accused US President Joe Biden’s stalemate in peace talks and genocide in Russia, saying “negative oil prices are limited.”

He said the situation in Ukraine and Russia was raising oil prices and that it would not fall at any time. Reuters.

On Tuesday, Putin accused Ukraine of obstructing peace talks and said Moscow would not be ashamed of what it called a “special operation” to disarm its western neighbors.

The crude future is attracting support from a production slump Russian oil and gas On Monday, the capacitor fell below 10 million barrels a day, the lowest level since July 2020.

On Tuesday, those familiar with the data said Western sanctions and logistics restrictions were hampering trade following Russia’s invasion of Ukraine.

OPEC Alerts

Warned OPEC It suggested that it could not offset potential supply losses from Russia, and pointed out that it would not pump too much crude oil, and reports of some easing of some tight Chinese closures in the corona supported oil prices.

CMC markets analyst Tina Ding said she is confident China’s lockout will be eased slowly in some areas; Fuel demand will increase again.

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Nadia Barnett
Nadia Barnett
"Award-winning beer geek. Extreme coffeeaholic. Introvert. Avid travel specialist. Hipster-friendly communicator."

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