Oil rises on possible supply disruption in the Middle East

Oil rises on possible supply disruption in the Middle East

Market concerns about crude oil supply outweighed speculation about weak U.S. economic growth data.

Photo: Reuters

He Petroleum rose this Thursday due to fear of a possible supply disruption in the Middle Eastonce Israel intensified airstrikes in Gaza (Palestine)in a day marked by the weak data that USA on the growth of its economy.

Crude oil futures Brent They gained 99 cents, or 1.12%, to $89.01 a barrel. Meanwhile, those of crude oil West Texas Intermediate (WTI) of USA They advanced 76 cents (0.92%), to $83.57 per barrel.

Israel intensified airstrikes against Rafah in the final hours, after saying he would evacuate civilians from the southern Gaza city, and launch an all-out assault despite warnings from allies that this could cause mass casualties.

Fueling concerns about fuel demand, this week’s supply report from the US Energy Information Administration (EIA)showed last Wednesday that gasoline stocks fell less than expected, while distillate stocks rose against expectations of a decline.

“The market started to realize that if you put the whole report in perspective, the slowing growth numbers were probably exaggerated,” he told Reuters. Phil Flynn, analyst at Price Futures Group. “I think then the market also started to focus on tight supply and geopolitical risk factors,” she added.

The US economy is growing slower than expected

In turn, the prices of Petroleum They had been pressured by data showing economic growth slowed more than expected in the first quarter.

The US Treasury Secretary Janet Yellenpointed out that the growth of the Gross Domestic Product (GDP) of USA for the first quarter could be revised upwards after more data is available, with inflation set to decline to “more normal” levels after a series of “peculiar” factors kept the economy at its weakest performance in almost two years .

Source: Ambito

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