Crude oil prices rose at the end of trading today, Friday, March 3 (2023), to achieve weekly gains, with Brent crude rising near $86 a barrel.
The recovery of factory activity in China, the world’s largest oil importer, offset growing concerns about rising US crude inventories and the possibility of interest rate increases in Europe.
The weekly report of Baker Hughes showed that oil drilling rigs decreased by 8 during the past week, bringing the total to 592 rigs.
Crude oil prices today
At the end of the session, Brent crude futures prices – for May 2023 delivery – rose by 1.3%, to reach $85.83 a barrel.
The price of US West Texas crude futures – for April 2023 delivery – increased by 1.9%, to $79.68 a barrel, according to data seen by the specialized energy platform.
Oil prices rose after denying reports that the UAE was considering leaving OPEC.
Crude oil prices ended their trading, yesterday, Thursday, March 2, on the rise, to continue to reap gains for the third consecutive session.
Oil market conditions
Oil prices achieved gains for the second week in a row, as WTI rose by 4.4% and Brent crude rose 3.6%, hoping for strong growth in fuel demand in China, the world’s largest oil importer.
Last month, manufacturing activity in China grew at the fastest pace in more than a decade; This reinforces expectations of a recovery in fuel dismantling.
Seaborne imports of Russian oil are set to hit a record level this month, according to data seen by the specialized energy platform.
Comments from Atlanta Fed President Rafael Bostick that the Fed should stick to a “flat” quarter-point rate eased concerns in the US and helped support crude oil prices on Thursday even after strong unemployment data.
recession fears
However, the market remains wary of consumer prices rising faster than expected in France, Spain and Germany; This fueled expectations of a rate hike by the European Central Bank.
Inflation in the eurozone rose to a higher-than-expected annual rate of 8.5% in February, according to a first estimate from the European Union’s statistics agency.
The 10th consecutive week of rising US oil stockpiles also affected the market this week, Reuters reported.
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