West Texas Crude Oil Contract Delivered in June Trading on the NIMEX was up $3.16 to close at $101.70 a barrel, with Brent for delivery in June. Up $2.67 to close at $104.99/barrel.
Oil prices were driven by speculative orders. After falling 4% yesterday amid concerns regarding oil demand. After the International Monetary Fund (IMF) announced a reduction in global economic growth forecasts.
While the US Federal Reserve (Fed) has accelerated to raise interest rates. And China has adopted lockdown measures to curb the spread of COVID-19. The IMF announced it lowered its forecasts for global economic growth in 2022 and 2023, affected by Russia’s deployment of forces. Soldiers invade Ukraine As a result, investors are concerned regarding the demand for oil in the market.
The IMF forecasts the global economy to grow 3.6 percent in both 2022 and 2023, down from its January forecast of 4.4 percent in the year. 2022 and 3.8% in 2023
Fed Chairman Jerome Powell has signaled that the Fed may raise interest rates by 0.50% at its May meeting. This will be the first time the Fed has raised interest rates by 0.50% since 2000.
Markets are also worried that the Fed will raise interest rates more strongly following May. might be raised by 0.75% to curb inflation
At the same time, investors are worried regarding the demand for oil in China. which is the country that imports the most oil in the world After China announced a lockdown on Shanghai. and parts of Beijing to contain the spread of COVID-19
