Oil Prices Maintain Steady Course Ahead of Crucial US Economic Data

Stay updated on oil price movements ahead of critical US economic reports. Analysis of Brent and WTI markets, impacts, and future outlook.

Jun 27, 2024 - 08:44
Jun 27, 2024 - 08:45
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Oil Prices Maintain Steady Course Ahead of Crucial US Economic Data
Oil Prices Maintain Steady Course Ahead of Crucial US Economic Data

Oil prices inched up as investors await key US economic indicators that could break the tightest trading range in over three years. Brent crude hovered near $86 per barrel, showing minimal movement of just $1.76 this week, the smallest since early 2021. Traders are focused on upcoming US data releases, including personal consumption and employment figures, which could impact oil prices and broader financial markets.

Despite a notable increase in US crude stockpiles reported on Wednesday, West Texas Intermediate (WTI) prices closed nearly unchanged around $81 per barrel on Thursday.

Oil markets are on track for a monthly gain, with expectations of further price rises in the next quarter due to seasonal factors. Recent market movements have mirrored broader stock market trends, with additional volatility expected from upcoming elections in Iran and France.

“Crude oil prices are holding up well, trading higher despite yesterday’s bearish EIA report,” said Ole Sloth Hansen, Vice President and Head of Commodity Strategy at Saxo Bank. “There is increasing speculation that OPEC may struggle to ramp up production from October onwards.”

US Gulf Coast crude inventories surged by 2 million barrels last week, reaching their highest seasonal level since 2020, while overall stockpiles remain elevated since April. However, indicators such as gasoline and jet fuel demand suggest subdued consumption amidst economic uncertainties.

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