Oil prices edged up from multi-month lows on Monday as
investors' appetite improved following data on U.S. jobs and
Chinese exports that eased recession concerns, Trend reports with reference to Reuters .
Brent crude futures had risen 22 cents, or 0.2%, to $95.14 a
barrel by 0439 GMT. U.S. West Texas Intermediate crude was at
$89.18 a barrel, up 17 cents, or 0.2%.
Both contracts settled higher on Friday after jobs growth in the
United States, the world's top oil consumer, unexpectedly
accelerated in July. On Sunday, China also surprised markets with
faster than expected growth in exports.
Signs of weak demand in U.S. inventories last week had
encouraged trades based on a weakening outlook, said Stephen Innes,
managing director of SPI Asset Management. But the jobs and exports
data had somewhat reversed that view, he added.
Front-month Brent prices last week hit the lowest levels since
February, tumbling 13.7% and posting their largest weekly drop
since April 2020, while WTI lost 9.7%, as concerns about a
recession hitting oil demand weighed on prices.
China, the world's top crude importer, imported 8.79 million
barrels per day (bpd) of crude in July, up from a four-year low in
June, but still 9.5% less than a year earlier, customs data
Chinese refiners drew down stocks amid high crude prices and
weak domestic margins even as the country's overall exports gained
Reflecting lower U.S. gasoline demand, and as China's zero-COVID
strategy pushes recovery further out, ANZ revised down its oil
demand forecasts for 2022 and 2023 by 300,000 bpd and 500,000 bpd,
Oil demand for 2022 is now estimated to rise by 1.8 million bpd
year-on-year and settle at 99.7 million bpd, just short of
pre-pandemic highs, the bank said.
Russian crude and oil products exports continued to flow despite
an impending embargo from the European Union that will take effect
on Dec. 5.
In the United States, energy firms last week cut the number of
oil rigs by the most since September. It was the first drop in 10
The U.S. clean energy sector received a boost after the Senate
on Sunday passed a sweeping $430 billion bill intended to fight
climate change, among other issues.
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