2024-05-07 16:28:46
Oil futures rose in early Monday trading, after Saudi Arabia raised the price of crude for most regions next June, indicating expectations of increased demand this summer, and diminishing prospects for reaching a ceasefire agreement in Gaza, which renewed fears of a widening scope of the conflict between Israel and Hamas. In the main oil production area.
Brent crude futures rose by 28 cents, or 0.3 percent, to $83.24 per barrel, and US West Texas Intermediate crude futures rose by 29 cents, or 0.4 percent, to $78.40 per barrel.
Saudi Arabia raised the official selling price for its crude sold to Asia, northwestern Europe and the Mediterranean in June.
“After declining by slightly more than 7.3 percent last week due to easing geopolitical tensions, Brent crude oil began the new trading week on a stronger basis, and opened higher,” Warren Patterson, head of the commodities research unit at ING, said in a note.
He added that this comes after Saudi Arabia raised the official selling price of its main Arab Light crude for June for most regions amid scarcity of supplies during this quarterly period.
Last week, futures contracts for both crude oils witnessed the largest weekly loss in three months, as Brent fell more than 7 percent and West Texas Intermediate crude 6.8 percent, with investors evaluating weak US jobs data and the potential timing of interest rate cuts that the Federal Reserve (the central bank) will announce. American).
The geopolitical risk premium in oil prices also declined as talks on a ceasefire in Gaza continued.
In a sign of possible shrinking supplies, US energy companies reduced the number of operating oil and natural gas rigs for the second week in a row last week, by seven rigs to reach 499 rigs, the largest weekly decline since November 2023, Baker Hughes said in a report on Friday.
Last updated: May 6, 2024 – 16:39
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2024-05-07 16:28:46