Oil is climbing to a 6-week peak thanks to strong demand


New York (Reuters)
Oil prices rose to their highest in six weeks Thursday, thanks to strong data for the US economy, a decline in the dollar and an expected recovery in demand, which canceled the impact of concerns about the growing Covid-19 infections in Brazil and India.
Brent futures rose $ 1.29, equivalent to 1.9 percent, to determine the settlement price at $ 68.56 a barrel, while US West Texas Intermediate crude rose $ 1.15, or 1.8 percent, to close at $ 65.01 a barrel. Thus, benchmark crude oil continues its gains for the third consecutive day, registering its highest close since March 15.
“Summer is the season for trekking, and motorists in the United States, China and the United Kingdom are consuming more fuel, which is a development the market believes will compensate for the Indian slowdown due to Covid-19,” said Bjornar Tonhaugen, director of oil markets at Rystad Energy.
He added that oil prices received additional support from the drop in the dollar, which made “oil cheaper to buy internationally.”
The US currency hovered near its lowest level in nine weeks, under the weight of expectations for continued monetary easing from the Federal Reserve and bold spending plans from US President Joe Biden.


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