Saudi Press

Saudi Arabia and the world
Wednesday, Jul 24, 2024

Oil Prices Steady Following US Inflation Data

Oil prices remained stable on Friday after US inflation data for May matched expectations, raising hopes for potential Federal Reserve rate cuts. Brent crude futures increased to $86.73 per barrel, with US West Texas Intermediate crude futures rising to $82.06. Analysts predict Brent crude to average around $83.93 per barrel in 2024, with concerns over Chinese demand possibly limiting further price changes.
In Bengaluru, oil prices remained stable on Friday as key US inflation data for May aligned with expectations, raising hopes for potential interest rate cuts by the Federal Reserve.

Brent crude futures for August, expiring on Friday, increased by 34 cents to reach $86.73 per barrel, while the more frequently traded September contract rose by 0.39 percent to $85.59.

US West Texas Intermediate crude futures climbed by 32 cents to settle at $82.06.

For the week, Brent and WTI futures saw an approximate 2 percent increase, predicting over 6 percent monthly gains.

The Federal Reserve's preferred inflation gauge, the personal consumption expenditures (PCE) price index, remained steady, matching forecasts, with an annual rise of 2.6 percent.

Market reactions were minimal, according to Charalampos Pissouros of brokerage XM.

Increased expectations of a Fed rate cut have driven a risk rally, with traders now seeing a 64 percent chance of a rate cut by September.

This potential easing could boost oil demand.

Barclays analyst Amarpreet Singh noted that oil prices are aligning with fair value estimates, with Brent crude projected to remain around $90 per barrel in the coming months.

However, concerns over Chinese demand and potential higher supply might limit further significant changes in oil prices for the latter half of 2024.

A Reuters poll projected Brent crude to average $83.93 per barrel and US crude $79.72 in 2024.

Related Articles

Saudi Press
World's Hottest Day Recorded on July 21
Sri Lanka Apologizes for Forced Cremation of Muslim Covid Victims
President Biden Returns to White House After Testing COVID Negative
Trump Says Kamala Harris Would Be Easier Election Opponent Than Biden
4.7 Magnitude Earthquake Strikes Northwestern Turkey
Hacking Vulnerabilities: Androids vs. iPhones
Israel Conducts First Direct Air Raid on Yemen's Hodeidah Port
Joe Biden Withdraws from 2024 US Presidential Race
A Week of Turmoil: Key Moments in US Politics
Elon Musk's Companies Drop CrowdStrike After Global Windows 10 Outage
US Criticizes International Court's Opinion on Israeli Occupation
Netanyahu Denounces World Court Ruling on Israeli Occupation
Adidas Drops Bella Hadid Over Controversy
Massive Flight Cancellations Across the U.S. Due to Microsoft Outage
Russia Accuses Ukraine of Using Chemical Weapons
Ursula von der Leyen Wins Second Term as European Commission President
Japan to Allocate $3.3 Billion to Ukraine Using Frozen Russian Assets
Google and Microsoft Now Consume More Power Than Several Large Countries
Increased Security for Trump After Assassination Threat
New AI Chipset Set to Revolutionize ChatGPT
Thai-Saudi Investment Roadshow Yields 100 Partnerships
Trump Media Shares Surge Following Re-Election Bid Boost
Russia's Electronic Warfare Neutralizes Western Weapons in Ukraine
Trump Challenges Biden to Debate and Golf Match
Macron Accuses Israeli Minister of Election Interference
US Senator Highlights Weaknesses in Western Military Industry During Ukraine Conflict
George Clooney Urges Biden to Withdraw from Presidential Race
Political Shift in the UK: A Detailed Analysis of Labour's Victory and Future Prospects
Viktor Orbán's Peace Mission: A Diplomatic Controversy in the EU
UAE Court Sentences 43 to Life Imprisonment Over Terrorist Links
Spain PM Pedro Sanchez Denounces Double Standards on Gaza at NATO Summit
Biden Affirms Commitment To Presidential Race
Putin Hosts PM Modi for a Private Meeting
2024 Predicted to Be World's Hottest Year
Iran's President-Elect Masoud Pezeshkian Reiterates Support for Hezbollah
Biden Insists on Continuing Presidential Race Amid Criticism
Macron Faces New Political Challenges Despite Election Relief
US Officials Resign Over Biden's Gaza Policy
Campaigners Push for Emergency Uplift Visa for Palestinians Escaping Gaza Conflict
Netanyahu Criticizes Release of Gaza Hospital Head
UK Government and British Airways Sued Over 1990 Kuwait Hostage Incident
Afghan Women's Rights Declared Internal Issue by Taliban
UK Appeals to ICC May Delay Arrest Warrants for Israeli Leaders
ZATCA Allows Non-citizens to Participate in Auctions
UK Investors Encouraged to Enter Saudi Sports Market
Saudi Arabia's Remarkable Position for Sustained Economic Growth
Iran's Presidential Election: A Close Race
Iran Threatens Retaliation if Israel Attacks Lebanon
EU Enforces Sanctions on Hamas Financiers
Turkey Removed from Financial Watchdog's Grey List