Energy
Thursday, May 23rd, 2024 4:00 pm EDT
Key Points
- Crude oil futures rebounded on Thursday following a three-day decline but are still heading for a weekly loss, with U.S. crude down 2.4% and Brent down 1.8% for the week.
- Current energy prices include West Texas Intermediate July contract at $78.04 per barrel, up 0.6%, Brent July contract at $82.40 per barrel, up 0.6%, RBOB Gasoline June contract at $2.49 per gallon, up 1.1%, and Natural Gas June contract at $2.79 per thousand cubic feet.
- Oil prices have remained within a $3 range since April highs due to eased fears of conflict in the Middle East, though concerns about higher interest rates potentially slowing the U.S. economy and worries about a buildup in global oil inventories persist among investors. Despite this, UBS forecasts a deficit in the oil market and predicts Brent to rise to $91 per barrel in the coming months, with healthy demand growth expected in 2024.
Crude oil futures experienced a rebound on Thursday following a three-day decline, although they remain on track for a weekly loss. U.S. crude oil has fallen by 2.4% for the week, while Brent, the global benchmark, has seen a decrease of 1.8%. Current energy prices show the West Texas Intermediate July contract at $78.04 per barrel, up 0.6%, and the Brent July contract at $82.40 per barrel, also up 0.6%. RBOB Gasoline for the June contract stands at $2.49 per gallon, marking a 1.1% increase, while natural gas for the June contract is priced at $2.79 per thousand cubic feet. Despite oil prices hovering within a narrow range since April highs due to eased concerns about Middle East conflict and a focus on supply and demand fundamentals, concerns persist among investors about the potential impact of higher interest rates on the U.S. economy, which could dampen oil demand. Additionally, worries about global oil inventory buildup, particularly after a mild winter in some regions, continue to weigh on market sentiment. However, UBS remains optimistic, forecasting a deficit in the oil market and projecting Brent to rise to $91 per barrel in the coming months. The bank also anticipates healthy demand growth of 1.5 million barrels per day in 2024, surpassing the long-term growth rate of 1.2 million barrels per day.
For the full original article on CNBC, please click here: https://www.cnbc.com/2024/05/23/crude-oil-prices-today-wti-brent-rise-after-three-day-decline-.html
