2023-07-06 23:51:36
Editor’s Picks, Economic News6:44,2023-07-07
New York West Texas Intermediate (WTI) crude futures closed slightly higher on Thursday (July 6) amid volatile trading. This is because investors are concerned that the upward trend in interest rates will affect the economy and demand for oil.
The WTI crude oil contract is delivered in August. rose 1 cent, or 0.01%, to settle at $71.80/barrel. The Brent crude oil contract (BRENT) is delivered in September. She was down 13 cents, or 0.17%, at $76.52 a barrel.
Investors expect the European Central Bank (ECB) to continue raising interest rates to stem inflation. And gives more than 90% weight that the US Federal Reserve (Fed) will raise interest rates by 0.25% at its meeting this month. The latter has released strong labor data.
Automatic Data Processing Inc. (ADP) said private sector payrolls rose 497,000 in June. This was the largest increase in nearly a year and beat analysts’ expectations of 220,000 following adding 267,000 in May.
Concerns regarding rising interest rates have overshadowed the positive as a report by the US Energy Information Administration (EIA) showed that crude inventories fell 1.5 million barrels last week. That’s 1 million barrels more than analysts in a Archyde.com poll expected.
Gasoline inventories fell 2.5 million barrels last week. More than analysts expected a drop of only 1.7 million barrels and distillate stocks. Oil, which includes heating oil and diesel, fell 1 million barrels, 700,000 barrels above analysts’ expectations.
Morgan Stanley lowered its outlook for Brent crude for the third quarter of 2023 to $75/barrel from $77.50/barrel. and lowered its price forecast in the fourth quarter of 2023 to $70/barrel from $75/barrel
By InfoQuest News Agency (07 Jul. ’23)
Tags: WTI, WTI oil, oil price
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