Sign Up for FREE Daily Energy News
Canadian Flag CDN NEWS  |  US Flag US NEWS  | TIMELY. FOCUSED. RELEVANT. FREE
  • Stay Connected
  • linkedin
  • twitter
  • facebook
  • youtube2
BREAKING NEWS:

Copper Tip Energy Services
Vista Projects
Vista Projects
Copper Tip Energy


Oil Steadies as Traders Weigh Fed Rate Outlook and China Demand


These translations are done via Google Translate
Oil steadied above a three-week low, as traders digested the Federal Reserve’s latest meeting for the outlook on interest rates and weighed the potential for better demand in China.

West Texas Intermediate traded near $76.50 a barrel after losing 3.1% in the previous session following another build in US stockpiles. European stock and US equity futures rose after Fed Chair Jerome Powell signaled that the central bank has made progress in its battle against inflation.

Oil's Rocky Start to the Year | Prices have swung in a $10 range in 2023

Crude has traded in a range of about $10 a barrel so far this year, as traders weigh the prospect of a recovery in Chinese consumption against worries over near-term fundamentals. The nearest portion of the WTI futures curve is pointing to oversupply, while sanctions on Russian supply are yet to create the price spikes that many had feared.

ROO.AI Oil and Gas Field Service Software
GLJ

“Oil staged a partial, but weak, post-FOMC rebound,” said Ole Hansen, head of commodities strategy at Saxo Bank. “Generally I think the message the market is sending right now is that China demand will recover, but not at the rate the market tried to price in ahead of the Lunar New Year.”

Prices:

  • WTI for March delivery was little changed at $76.40 a barrel at 9:37 a.m. in London.
  • Brent for April settlement was 0.1% lower at $82.73 a barrel.

Meanwhile, Goldman Sachs Group Inc. analysts including Yulia Zhestkova Grigsby said that warm weather in the northern hemisphere winter likely lowered global oil demand by about 300,000 barrels a day earlier in January. The return of colder conditions has now provided a 200,000 barrels-a-day demand boost, they added.



Share This:



More News Articles


GET ENERGYNOW’S DAILY EMAIL FOR FREE