West Texas Intermediate has bounced back after crude inventories fell for the sixth week in a row. The oil market is now waiting to see whether Iran will follow through on its threat to strike Israel.
Oil futures were off slightly early Thursday, consolidating after back-to-back gains as investors kept an eye on Middle East tensions and monitored developments in global financial markets as August gets off to a tumultuous start.
Light crude oil prices hold steady to lower after gains, with Middle East tensions and falling U.S. crude inventories influencing the market.
Brent crude oil has approached a critical level and is poised for a rebound or a breakout.
Oil prices edged higher on Thursday for the third straight session after government data showed a steep draw in U.S. crude stockpiles, rebounding from multi-month lows touched this week.
Oil futures may seesaw in the coming days thanks to recession fears in the United States despite the ongoing tensions in the Middle East, a key oil-producing region.
The oil markets have been very noisy over the past few sessions, but at this point in time, it is likely that we will continue to see even more volatility, as the global growth situation is still very unsure to say the least.
Gasoline inventories increased by 1.3 million barrels, exceeding analyst expectations.
U.S. crude stocks fell while gasoline and distillate inventories rose in the week ending August 2, the Energy Information Administration said on Wednesday.
U.S. crude oil has risen to nearly $75 per barrel, after following equity markets lower earlier in the week on recession fears. Middle East tensions and ongoing OPEC+ production cuts are providing a floor for prices.
Oil futures rose Wednesday, finding support as stock markets continued their recovery from a global rout that had served to pull down commodity prices.
Oil prices consolidate amid rising geopolitical tensions and surprising U.S. inventory data. Learn how these factors impact the crude oil market.