Prices on the oil market are moving upwards on Friday. Prices are expected to end the week higher, snapping a two-week losing streak, after a top U.S. official expressed optimism about economic growth and as supply concerns persisted amid conflicts in the Middle East.
Brent crude futures were up 47 cents, or 0.5 percent, at $89.48 a barrel, and U.S. West Texas Intermediate crude futures were up 44 cents, or 0.5 percent. %, to 84.01 dollars per barrel.
For the week, Brent is up 2.4% so far, while WTI is up 0.9%.
Helen’s optimism
U.S. Treasury Secretary Janet Yellen told Reuters on Thursday that first-quarter U.S. GDP growth could be revised higher and inflation would ease after a host of “strange” factors kept the economy in its weakest showings. her for almost two years.
US economic growth was likely stronger than the weaker-than-expected quarterly data suggested, he stressed.
Elsewhere, supply concerns as tensions in the Middle East continue also boosted prices early in the session.
Israel has stepped up airstrikes in Rafah after it said it would evacuate civilians from the southern Gaza city and launch an all-out offensive despite warnings from allies that it could cause mass casualties.
The price of oil has risen during 2024 due to supply cuts by OPEC+ on the one hand, and geopolitical risks in the Middle East and Russia on the other.
Traders are also weighing the outlook for the Fed’s monetary policy, with a slowdown in US business growth seen as a positive development fueling expectations for lower interest rates.
“Traders have finally found an opportunity to focus on fundamentals, with the geopolitical risk premium somewhat erased,” said Charu Chanana, analyst at Saxo Capital Markets Pte in Singapore. “Lower inventories signal that demand is holding,” he added.
Tags: Oil Prices break falling streak dollars Economic Postman
