© Archyde.com. Oil prices are rising and trying to recover from their strong losses
Arabictrader.com – Crude oil prices recorded a slight improvement during Thursday’s trading, supported by the improvement in investor sentiment following China’s decisions, in conjunction with the positivity of US oil inventories, which pushed the prices of .
On the sidelines of trading, spot contracts recorded slight increases by 0.75% and reached about 78.41 per barrel, and US spot crude contracts rose by 1.21% and reached $73.55 per barrel.
The most important reasons that supported crude oil:
China’s recent decisions on easing epidemic restrictions helped revive investor hopes that these decisions will increase demand for crude oil by the largest importer of crude oil in the world, as China announced a new series of easing measures regarding epidemic restrictions, which raised investor sentiment about their anticipation of an increase The demand for crude oil, to support oil prices during today’s trading.
In addition, the US oil inventories data, which was released yesterday evening, supported the rise in crude oil prices, as US oil stocks declined for the fourth week in a row, and stocks recorded a decline of about 5.2 million barrels, contrary to expectations that indicated a decline in US oil stocks by about 3.5 million. Barrels, after oil inventories recorded a decline of about 12.6 million barrels last week.
Likewise, there are indications that the repercussions of the Russian oil price ceiling pricing mechanism have already begun to affect crude oil prices, as the European Union countries, along with the G7 countries, have begun to apply the Russian oil price ceiling at $60 a barrel since December 5 of this year, as well. That the European Union countries decided to impose a ban on their imports of Russian oil has already entered into force, as there are at least 20 camels that faced delays in crossing to the Mediterranean Sea loaded with Russian oil.
It is worth noting that crude oil prices began to improve after reaching their lowest level this year, amid increasing investor fears of a slowdown in the global economy, for fear that this slowdown will lead to a decline in demand for crude oil, which will lead to a decline in oil prices. Crude Oil, as they await the US economic data that is due to be released earlier this week.