Oil prices rose on Thursday, supported by the decline of the dollar and positive indications from Chinese trade data, but renewed concerns about global demand due to the growing virus infections
Oil prices rose on Thursday, supported by the decline of the dollar and positive indications from Chinese trade data, but renewed concerns about global demand due to the growing virus infections Corona In Europe and the imposition of new closures in China, some pressure was imposed.
Brent crude futures rose 36 cents, equivalent to 0.6%, to determine the settlement price at $ 56.42 a barrel. U.S. West Texas Intermediate crude closed up 66 cents, or 1.3%, at $ 53.57.
The US dollar index plummeted after statements by Federal Reserve Chairman Jerome Powell, who reiterated the policy of monetary easing, as he said that “the central bank will not raise interest rates soon.”
The decline in the dollar makes its price of oil less expensive for holders of other currencies.
Hopes for oil demand growth were boosted by a massive relief package from the repercussions of “Covid-19”, which the US President-elect is scheduled to reveal. Of the bygones, Later on Thursday.
Jim Ritterbusch, president of Ritterbusch & Co. said: “In light of the strengthening of energy prices with the decline of the dollar today, the oil market was able to rise late in the session in parallel with the rise of stocks.”
Global stock indices rose to record levels and US bond yields advanced today as investors focus on Biden’s anticipated stimulus proposal.
Ritterbusch said: “The fundamentals of oil still appear supportive enough to push the market to a new high during the next two sessions.”