Oil prices are rising on Wednesday after falling the day before on weak statistical data from the U.S., which reduced investor optimism about global energy demand.
Traders’ attention is focused on the U.S. Department of Energy report on the country’s energy reserves, which will be released at 17:30.
The American Petroleum Institute (API) data released on Tuesday night showed an increase of 3.378 million barrels in U.S. oil inventories for the third week in a row. The previous two weeks, oil reserves in the country increased by more than 27 million barrels, reaching the highest since June 2021.
The value of March futures for Brent on the London Stock Exchange ICE Futures was $86.34 a barrel by 8:10 Moscow time on Wednesday, which was $0.21 (0.24%) higher than the price at the close of the previous session. Those contracts fell by $2.06 (2.3%) to $86.13 a barrel at the close of trading on Tuesday.
The price of WTI futures for March increased by $0.14 (0.17%) to $80.27 per barrel at electronic auctions of New York Mercantile Exchange (NYMEX). By the close of previous trading, those contracts had fallen $1.49 (1.8%) to $80.13 a barrel.
“Oil prices are trying to correct after falling the day before on weak data on business activity in the States,” – said an analyst at IG Asia Pte in Singapore Yeop June Rong. – But the pressure on the market remains, the risk appetite of investors remains subdued.
The composite purchasing managers index (PMI) in the United States, calculated by S & P Global, in January rose to 46.6 points from 45 points a month earlier. A reading below the 50-point mark indicates a contraction in business activity. The U.S. PMI has remained below that level for seven months in a row.
Business activity in January continued to fall in both the U.S. manufacturing and service sectors, preliminary data from S&P Global showed.
