Crude oil prices rose sharply on Tuesday due to concerns about supply disruptions amid the ongoing shutdown of the Keystone pipeline following a massive leak last week.
A weak dollar too supported oil prices. Data from the Labor Department showed consumer prices in the U.S. inched up by less than expected in the month of November.
West Texas Intermediate Crude oil futures for January ended higher by $2.22 or about 3% at $75.39 a barrel.
Brent crude futures were up $2.76 or 3.54% at $80.75 a barrel a little while ago.
The report from the Labor Department said the consumer price index edged up 0.1% in November, after climbing by 0.4% in October. Economists had expected consumer prices to rise by 0.3%.
The report also showed the annual rate of growth by consumer prices slowed to 7.1% in November from 7.7% in October.
The year-over-year increase in November, which came in below expectations for a slowdown to 7.3%, reflects the slowest annual growth since December 2021.
The Chinese government’s decision to loosen some Covid-related restrictions helped ease concerns about demand for energy. According to reports, China has withdrawn a state-mandated app used to track people whether they had travelled to COVID-stricken areas.
Beijing’s U.S. envoy on Monday said he expects further relaxations in the near future so that international travel to the country will become easier.
The material has been provided by InstaForex Company – www.instaforex.com
- KC Fed Manufacturing Index Drops to -13 in April 2024 - April 25, 2024
- KC Fed Composite Index Drops to -8 in April 2024 - April 25, 2024
- T-Mobile, EQT Form Joint Venture To Buy Lumos - April 25, 2024