Oil prices conclude above the April peak fueled by supply reductions
Crude prices have been on the rise for four weeks in a row spurred by the compromised supplies due to OPEC+ cutting down its production supply as well as some involuntary outages.
International benchmarks for crude oil ended the session on Thursday, 27 July 2023 on a high note aided by the squeezed supply as a result of the OPEC+ production cuts and resumed optimism regarding Chinese demand and global growth.
Crude prices have been on the rise for four weeks in a row spurred by the compromised supplies due to OPEC+ cutting down its production supply as well as some involuntary outages. Besides that, there are growing expectations that central banks such as the Fed are inching closer to the penultimate stages of their policy tightening campaigns which would likely boost global growth forecast and energy demand.
Meanwhile, assurance from Chinese government officials on Monday of extended policy support for the economy has raised hopes of a rejuvenated oil demand from the world’s largest crude importer.
Brent crude gained $1.32 or 1.6% to $84.35/barrel.
US West Texas Intermediate inched up $1.31 or 1.7% to $80.09/barrel.