Forex Marketz Daily Forex News – Fully Markets Update
Crude oil futures contracts were trading higher during the Asian trade session on Thursday. These gains follow heavy losses the previous trade session.
Oil prices got a boost from easing trade tensions between the United States and China, both made concessions, as well as economic data on U.S. inventory levels released by the U.S. Energy Information Administration (EIA). Inventory in the United States fell to a new yearly low.
As of 12:50 am GMT, the international benchmark, Brent crude oil futures contract rose 0.7 percent or over 40 cents to trade at $61.22 per barrel.
The U.S. West Texas Intermediate (WTI) crude oil futures contract was also up 0.7 percent or 40 cents, to trade at $56.16 per barrel.
Overnight, the EIA released U.S. inventory data that showed that stockpiles fell last week to their lowest levels in a year. Refineries increased output and imports fell.
Inventory contracted by 6.9 million barrels last week, which was more than two times the expect 2.7 million barrel draw down.
Crude Oil Traders also Monitor Trade War Headlines between the US and China
Overnight, China announced that they would exempt from tariffs some U.S. anti-cancer drugs and other goods. U.S. President Donald Trump also announced that his country would delay a scheduled tariff hikes on Chinese goods.
These goodwill concessions, from both sides, come just days before they are scheduled to meet to discuss trade and their trade war that has gone on for over a year.
Yesterday, Donald Trump said that he was considering easing sanctions against Iran. This would also give the supply of oil a boost during a time traders are worried about global oversupply.
