On early Tuesday, oil prices rose ahead of data later anticipated to indicate a fall in crude oil and petrol stocks inventories in the U.S. However, continued fears over a slowing Chinese economy restrained the upside. By 0101 GMT, Brent crude was up 10 cents to $84.56 per barrel, while West Texas Intermediate crude was …
On early Tuesday, oil prices rose ahead of data later anticipated to indicate a fall in crude oil and petrol stocks inventories in the U.S. However, continued fears over a slowing Chinese economy restrained the upside. By 0101 GMT, Brent crude was up 10 cents to $84.56 per barrel, while West Texas Intermediate crude was up 9 cents to $80.81 per barrel. The September WTI contract was up 11 cents at $80.23 a barrel.
According to a preliminary Reuters poll, the American Petroleum Institute business organization expected U.S. crude oil and gasoline inventories to fall and is set to reveal statistics on crude oil and petrol stockpiles in the United States later today. The Energy Information Administration, the Department of Energy’s statistics arm, is set to issue its own numbers on Wednesday.
According to ANZ research, the market is also watching for preliminary August U.S. PMI data and the Fed’s annual economic symposium in Jackson Hole, both of which are coming later this week. Recent economic data in the U.S. has boosted expectations for the Fed to maintain interest rates higher for longer, dampening demand for oil and a wide variety of consumer products. Furthermore, concerns about China’s economic prospects, the world’s second largest oil consumer, have weighed on oil prices.
On Monday, Brent and US crude oil fell as China’s central bank dropped its one-year loan rate just significantly, disappointing the market, which had expected more robust stimulus measures despite a rapid loss of economic momentum.
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