Report

rss

Iraq News

Kurdistan

Economy

World

All News

Oil prices rebound as U.S. House passes huge stimulus bill

Category: Economy

Date: 2021-03-01T06:28:30+0000
Oil prices rebound as U.S. House passes huge stimulus bill

Shafaq News/ Oil prices rebounded more than $1 on Monday after the U.S. House of Representatives passed a huge stimulus package, although a drop in China's February factory activity growth capped gains.

Brent crude futures for May rose $0.92, or 1.43%, to $65.43 per barrel by 0454 GMT. The April contract expired on Friday.

U.S. West Texas Intermediate (WTI) crude futures jumped $0.90, or 1.46%, to $62.41 a barrel.

Front-month prices for both contracts touched 13-month highs last week, slipping back on Friday along with wider financial markets following a bond rout amid inflation fears.

"Oil prices are recovering this morning in line with most risk assets on the back of the U.S. stimulus bill passing the House," Stephen Innes, chief global markets strategist at Axi, wrote in a note on Monday.

The U.S. House passed a $1.9 trillion coronavirus relief package early on Saturday, lifting investors' risk appetite and Asian stock markets. The package will now move to the U.S. Senate for further deliberation.

The approval of Johnson & Johnson's COVID-19 shot also buoyed the economic outlook.

Manufacturing data from top Asian oil importers were mixed, however, as China's factory activity growth slipped to a nine-month low in February, while manufacturing in Japan expanded the fastest in more than two years.

Crude supplies going into top importer China are expected to ease in the second quarter as the oil price rally cooled demand. Preliminary data also showed that South Korea's February imports are down 14.7% from a year earlier.

The Organization of the Petroleum Exporting Countries (OPEC) and its allies, a group known as OPEC+, will meet on Thursday and could discuss allowing as much as 1.5 million barrels per day of crude back in the market.

"We think if the combined (OPEC+) increase does not exceed 500,000 bpd, that will be bullish for prices," analysts at Singapore's OCBC bank said.

Separately, Iran on Sunday dismissed opening talks with the United States and the European Union to revive the 2015 nuclear deal, insisting Washington must first lift the unilateral sanctions that have sharply reduced Iranian oil exports.

Source: Reuters; prices updated by Shafaq News Agency

related

Oil prices edge lower in early trading

Date: 2022-04-11 05:57:28
Oil prices edge lower in early trading

Oil prices rise ahead of OPEC+ meeting

Date: 2021-11-04 11:03:38
Oil prices rise ahead of OPEC+ meeting

Oil prices of OPEC Members

Date: 2021-05-11 06:27:10
Oil prices of OPEC Members

Oil rises for a second day on supply tightness concerns

Date: 2022-07-26 06:25:52
Oil rises for a second day on supply tightness concerns

Oil spikes to 7-year high as markets avoid Russian supply

Date: 2022-03-02 05:44:37
Oil spikes to 7-year high as markets avoid Russian supply

Oil prices slip in cautious trade ahead of OPEC+ meet

Date: 2020-11-30 06:28:33
Oil prices slip in cautious trade ahead of OPEC+ meet

Oil prices of OPEC Members

Date: 2021-07-21 08:51:38
Oil prices of OPEC Members

Oil highest since 2014 as Turkey outage adds to tight supply outlook

Date: 2022-01-19 07:13:01
Oil highest since 2014 as Turkey outage adds to tight supply outlook