Brent Crude Oil Futures Rise by 22 Cents Amid Positive Economic Data
Oil prices increased for the fifth consecutive session on Monday, continuing a rise of over 3% from the previous week. This surge comes as concerns over a potential recession in the U.S. have eased, and geopolitical tensions in the Middle East are supporting prices, according to Reuters.
Brent crude oil futures rose by 22 cents, or 0.3%, reaching $79.88 per barrel. Meanwhile, West Texas Intermediate (WTI) crude oil futures increased by 36 cents, or 0.5%, to $77.20 per barrel.
“Support comes from more positive-than-expected labor market data in the U.S. from last week, which has alleviated concerns about an impending recession,” stated Tony Sycamore, an analyst at IG Markets.
He further noted, “There is significant concern regarding when Iran might respond to Israel for the assassination of key leaders from Hamas and Hezbollah. It seems to be just a matter of time.”
Iran and Hezbollah have vowed to retaliate against the killings of Hamas political leader Ismail Haniyeh and Hezbollah military commander Fuad Shukr.
“The market is still waiting for Tehran’s response,” pointed out Warren Patterson from ING.
Last week, Brent crude gained over 3.5%, while WTI rose more than 4%, driven by favorable economic data and increasing hopes for interest rate cuts in the U.S.
In recent days, three U.S. central bankers have indicated that inflation appears to be cooling enough for the Federal Reserve to ease its monetary policy as soon as next month.
Data is current as of 9:00 AM Bulgarian time.
