On Thursday, oil prices flew to their highest level in more than two years, while gold rebounded after the rise in the US inflation rate.
Oil prices rose to their highest levels in more than two years in volatile trading, Thursday, amid optimism about strong economic demand after new US jobless claims fell to their lowest levels since the first wave of “Covid-19” in the country last year.
The market witnessed a brief decline after media reports indicated that the United States had lifted sanctions against officials in the Iranian oil sector.
According to Reuters, the US Treasury Department said, at a later time, that it had lifted sanctions imposed on 3 former Iranian officials, and two companies that were previously involved in trading Iranian petrochemical products.
A US official told Reuters the action was “routine” and not related to talks with Iran about reviving a 2015 deal to curb its development of nuclear weapons.
Brent crude futures rose 30 cents, or 0.4%, to a settlement price of $72.52 a barrel.
Meanwhile, US West Texas Intermediate crude rose 33 cents, or 0.5%, to end the session at $70.29.
This is the highest closing level for Brent since May 2019 and for WTI since October 2018.
The number of Americans who applied for new unemployment benefits last week fell to the lowest level in nearly 15 months, while consumer prices rose strongly in May, as the economy continued to liberalize from the effects of the pandemic.
“The recent release of unemployment and jobs data in the United States … is a positive indication that the recovery is accelerating in the country,” said Louise Dixon, an analyst at Rystad Energy.
She added, “More business activity means more energy consumption, and an improved economy is a necessary prerequisite for increased traffic on the roads and in the air.”
Gold prices also rose, in trading Thursday, after data showed that consumer prices increased more than expected last month, but led to an easing of concerns about the Federal Reserve reducing its monetary support.
And gold rose in immediate transactions 0.3% to $ 1893.75 an ounce (an ounce) by 17:43 GMT, after hitting its lowest level since June 4 at $ 1869.46 earlier in the session.
US gold futures were settled at $1,896.40 an ounce.
“The most important conclusion from the inflation data is that this market strongly believes that the US Federal Reserve will not change its position any time soon,” said Edward Moya, chief market analyst at OANDA.
As for other precious metals, palladium fell 0.6% to $2,762.56, while platinum fell 0.4% to $1,145.23.
Silver advanced 0.5% to $27.88 an ounce.