Energy
Monday, March 11th, 2024 3:39 pm EDT
Key Points
- Oil prices declined on Monday, extending losses from the previous week, as traders awaited new inflation data.
- The West Texas Intermediate (WTI) contract for April dropped by 0.51%, or 40 cents, settling at $77.61 a barrel, while the Brent contract for May decreased by 0.43%, or 35 cents, reaching $81.73 a barrel.
- Last week, U.S. crude and the global benchmark experienced declines of 2.45% and 1.76%, respectively, attributed to subdued demand in China and comments from the International Energy Agency (IEA) suggesting ample supply in the market. Traders are monitoring the upcoming release of consumer and producer price indexes for indications of when the Federal Reserve might consider interest rate cuts, with expectations of a rate cut in June. Additionally, OPEC and the IEA will issue their monthly oil market reports this week, contributing to market sentiment and price movements.
Oil prices experienced a slight decline on Monday, continuing the downward trend observed last week, as traders awaited the release of new inflation data. The West Texas Intermediate (WTI) contract for April decreased by 0.51%, or 40 cents, settling at $77.61 per barrel, while the Brent contract for May lost 0.43%, or 35 cents, reaching $81.73 per barrel. Last week, both U.S. crude and the global benchmark experienced losses of 2.45% and 1.76%, respectively, primarily due to sluggish demand in China and comments from the International Energy Agency (IEA) suggesting that the oil market would remain well supplied throughout the year. The upcoming release of the consumer and producer price indexes, scheduled for Tuesday and Thursday respectively, is anticipated to provide insights into when the Federal Reserve might consider reducing interest rates. Many investors are expecting a rate cut in June, a move that typically stimulates economic growth and consequently, increases crude demand. Additionally, this week, OPEC and the IEA are set to publish their monthly oil market reports, contributing further to market sentiment and price dynamics.
For the full original article on CNBC, please click here: https://www.cnbc.com/2024/03/11/crude-oil-prices-today.html
