US: On Monday, oil prices rose from multi-month lows as investors’ appetite increased as a result of news on US jobs & Chinese exports that allayed fears of a recession.
By 0638 GMT, Brent oil prices had increased 81 cents, or 0.9%, to $95.73 per barrel. US West Texas Intermediate petroleum was up 75 cents or 0.8 percentage points at $89.76 a barrel.
Following an unexpected acceleration in job creation in July in the United States, the world’s largest oil consumer, both futures settled higher on Friday. China also astonished the markets on Sunday with a faster-than-anticipated increase in exports.
Front-month Brent prices fell 13.7 percent last week, marking their greatest weekly decline since April 2020, while prices fell 9.7 percent as worries about how a recession might affect oil demand dragged on prices
According to customs data, China, the world’s largest oil buyer, imported 8.79 million barrels of crude per day (bpd) in July, up from such a four-year low in June but but 9.5% lower than a year ago.
Despite rising exports overall and low local profits due to high oil prices, Chinese refiners reduced their stock levels.
ANZ reduced its oil demand predictions for 2022 and 2023 by 300,000 bpd and 500,000 bpd, respectively, due to weaker US gasoline consumption and China’s zero-covid strategy, which further delays recovery.
