2023-08-29 21:04:19
Oil prices rose on Tuesday as the market reacted to the approach of Hurricane Idalia on the west coast of Florida but also to the prospect of increased demand for fuels for the weekend of Labor Day in the States -United.
A barrel of Brent from the North Sea, for delivery in October, gained 1.26% to 85.49 dollars.
Its American equivalent, a barrel of West Texas Intermediate (WTI), for delivery the same month, rose 1.32% to 81.16 dollars.
US economic indicators have signaled an easing in the labor market with a sharp drop in job vacancies in the JOLTS report which gives hope for a soft landing for the US economy without the need for a new tightening of the Fed.
“This data has supported the market,” admitted Phil Flynn of Price Futures Group. They pushed down bond yields which themselves drove down the dollar. When the greenback weakens, it is advantageous for the price of black gold which is traded in dollars.
But according to Phil Flynn, the oil market mainly reacted to the approach of the hurricane on Florida where evacuations were ordered. “The storm should not have too much impact on supply” and refineries but “rather on demand, and temporarily”.
Also looming was the Labor Day holiday weekend on Monday, which often gives Americans the opportunity to accumulate a few days of vacation. “We expect a strong increase in demand” for fuels, said Phil Flynn. The AAA automobile association estimated that travel this year in the air and on the roads would be more than last year.
“The rise in gasoline prices since mid-July should not discourage those who want to go on vacation,” says the organization Triple A.
The price of European gas fluctuated following the announcement of a strike at liquefied natural gas production sites in Australia. But it finally fell (-10.16% to 34.51 euros per megawatt hour).
Employees of the energy giant Chevron will begin a rotating strike on September 7 – during which workers alternate walkouts to disrupt activity by minimizing their lost wages – at liquefied natural gas (LNG) production sites in Western Australia, threatening up to 5% of global supplies.
The strikes concern the Gorgon and Wheatstone factories in Western Australia, according to the American group. This region is strategic for the production of natural gas worldwide.
1693362283
#Oil #rises #Hurricane #Idalia #approaches
