Commodity News
HeadLine : Oil prices edge higher ahead of more rate cues; weekly gains on tap
Date : Apr 26 2024
Oil prices rose slightly in Asian trade on Friday and were set for a positive end to the week amid bets on tighter supplies and persistent geopolitical unrest in the Middle East.But gains were tepid with traders on edge ahead of key U.S. inflation data due later in the day, which is set to offer more cues on the path of interest rates. A drop in the dollar, following weak U.S. economic growth data, offered some relief to oil prices. Prices rose in recent sessions as data showed overall U.S. inventories shrank more than expected in the past week, indicating some tightness in global oil markets.Concerns over disruptions to Middle East supplies also remained in play as Israel stepped up its strikes against Gaza. While a war with Iran did not materialize, the Israel-Hamas conflict showed few signs of stopping. The U.S. was also set to mobilize more military aid for Israel after President Joe Biden approved a bill earlier this week.This kept some elements of risk premium in play for oil prices, helping them weather concerns of weaker demand and softening global growth. 

Source: Reuters

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