West Texas Crude Oil Contract Delivered in June Trading on the NYMEX was down $1.80 to close at $112.40 a barrel. Brent crude oil contract For delivery in July was down $2.31 to close at $111.93/barrel.
Oil prices were boosted as the European Union (EU) prepares to impose sanctions on Russian oil. The EU will hold a summit on May 30-31 to consider the deal.
Investors also responded to the rising demand for oil in China. Shanghai plans to end lockdown measures on June 1 following no confirmed cases of COVID-19 have been reported. The newcomer for the third day in a row marks a milestone that Shanghai authorities have set as a basis for the start of a six-week easing of lockdown measures that have been in force.
Investors will keep an eye on the American Petroleum Institute (API)’s release of US crude inventories today, while the US Federal Energy Information Administration (EIA) will release it tomorrow. Analysts expected US crude inventories to decline last week.