Brent and WTI crude futures rebounded on Tuesday, fueled by a slightly positive short-term outlook, despite thin trading volumes ahead of Christmas.
Oil prices experienced a rebound on Tuesday, reversing the previous session's losses. This upward trend was fueled by a moderately optimistic outlook for the short term, despite a relatively quiet market in anticipation of the Christmas holiday. Brent crude futures climbed 36 cents, or 0.5 percent, to $72.9 a barrel, while U.S. West Texas Intermediate crude futures increased 34 cents, also 0.5 percent, reaching $69.58 a barrel by 1213 GMT.
FGE analysts predicted that benchmark prices would likely remain stable around their current levels in the near future. They attributed this expectation to decreased activity in the paper markets during the holiday season and market participants' cautious stance until a clearer understanding of 2024 and 2025 global oil balances emerges. According to the analysts, supply and demand dynamics in December have contributed to a less bearish outlook. They also highlighted the potential for upward price surges in the event of any supply disruptions, given the limited positioning in the paper market. Neil Crosby, Sparta Commodities' assistant vice-president of oil analytics, pointed out a notable shift in the consensus among major agencies regarding long-term 2025 liquids balances. He cited the EIA's short-term energy outlook (STEO) which recently revised its 2025 liquids forecast to a draw, despite anticipating the return of some OPEC+ barrels next year. Adding further support to prices was China's plan, as the world's largest oil importer, to issue 3 trillion yuan ($411 billion) worth of special treasury bonds in 2024. This move by Beijing aims to stimulate its faltering economy through fiscal measures. This is anticipated to provide near-term support for WTI crude at $67 a barrel, according to OANDA senior market analyst Kelvin Wong. Market participants are also closely monitoring the performance of the U.S. economy, the world's largest oil consumer, which recently released mixed economic data. New orders for key U.S.-manufactured capital goods surged in November, driven by strong demand for machinery, while new home sales also experienced a rebound, suggesting a resilient housing market
OIL PRICES CRUDE FUTURES MARKET OUTLOOK SUPPLY AND DEMAND HOLIDAY TRADING
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Oil prices rise amid China’s monetary policy move, Assad’s fallBrent crude futures were up 94 cents to $72.06 a barrel by 0852 GMT, while U.S. West Texas Intermediate crude futures gained $1.00 to $68.20
Read more »
Global Markets Pause Amid Trump Uncertainty, Oil Prices RiseFinancial markets worldwide are experiencing volatility due to uncertainties surrounding Donald Trump's presidency, impacting various indices such as the DAX, FTSE 100, and Nikkei. Oil prices edged higher, influenced by a potential ceasefire deal between Israel and Hezbollah and an upcoming OPEC+ meeting.
Read more »
Oil Prices Rise Following Potential Ceasefire Between Israel and LebanonOil prices have seen an increase due to reassessment of a potential ceasefire between Israel and Lebanon's Hezbollah, reducing the risk premium in the market. Brent crude and U.S. West Texas Intermediate crude futures experienced a 1 percent rise.
Read more »
Oil Prices Rise to Two-Week Highs on Geopolitical TensionsOil prices remained near their highest levels in two weeks on Monday, building on a 6% surge last week driven by escalating geopolitical tensions between Western powers and major oil producers Russia and Iran. Both Brent crude and WTI crude futures edged up slightly, supported by concerns over potential supply disruptions due to the heightened conflict.
Read more »
Oil prices rise on upbeat China data, shaky Israel-Lebanon ceasefireBrent crude futures climbed 75 cents to $72.59 a barrel by 1002 GMT, while U.S. West Texas Intermediate crude rose 70 cents to $68.70
Read more »
Oil prices rise as China’s policy easing fuels demand hopesBrent crude futures gained 75 cents to $72.94 a barrel by 1011 GMT, while U.S. West Texas Intermediate crude futures rose 75 cents to $69.34
Read more »