Oil gains on China growth, but European inflation weighs

World
2023-03-02 | 07:35
High views
Share
LBCI
Share
LBCI
Whatsapp
facebook
Twitter
Messenger
telegram
telegram
print
Oil gains on China growth, but European inflation weighs
Whatsapp
facebook
Twitter
Messenger
telegram
telegram
print
2min
Oil gains on China growth, but European inflation weighs

Oil edged higher on Thursday, though gains made on signs of a strong economic rebound in top crude importer China were kept in check by fears over the impact of potnetial increases to European interest rates.

Brent crude futures rose 43 cents, or 0.51%, to $84.74 a barrel by 1017 GMT. U.S. West Texas Intermediate (WTI) crude futures were up 45 cents, or 0.58%, at $78.14. 

Manufacturing activity in China grew at the fastest pace in more than a decade last month, data showed on Wednesday, adding to evidence of a rebound in the world's second-largest economy after removal of strict COVID-19 curbs. 

China's seaborne imports of Russian oil are set to hit a record high this month as refiners take advantage of cheap prices. 

However, the market was pressured by growing expectations of rate increases by the European Central Bank (ECB) after faster than expected acceleration in consumer prices in France, Spain and Germany. 

Euro zone inflation rose to a higher than expected annual rate of 8.5% in February, according to a first estimate from the EU's statistics agency. 

"Resurfacing inflation worries contributed to the souring mood," said PVM Oil analyst Tamas Varga. "Persistent inflation anxiety will act as a break on a prolonged rally in the immediate future." 

In the United States, a tenth consecutive week of crude stock builds (USOILC=ECI) also weighed. 

Record exports of U.S. crude oil, however, kept the build smaller than in recent weeks, the Energy Information Administration said. 

Reuters
 

Breaking Headlines

World

Oil

Economy

Importer

China

Europe

Interest

Rates

LBCI Next
US, allies in war of words with Russia at G20 meet
US seeks allies' backing for possible China sanctions over Ukraine war
LBCI Previous
Download now the LBCI mobile app
To see the latest news, the latest daily programs in Lebanon and the world
Google Play
App Store
We use
cookies
We use cookies to make
your experience on this
website better.
Accept
Learn More