Decline in oil and gasoline inventories points to strong demand

After rising to $79.87 yesterday, the price of a barrel of Brent crude oil closed the day at $77.15. As of 09:47 today, the price of a barrel of Brent crude oil increased by 0.43 percent compared to the closing price, reaching $77.48. At the same time, West Texas Intermediate (WTI) crude oil was trading at $71.97 per barrel.

Data indicating strengthening demand in the US, the world's largest oil consumer, has been influential in the rise in prices.

The US Energy Information Administration (EIA) announced that the country's commercial crude oil inventories decreased by approximately 6 million 900 thousand barrels last week. During the same period, US gasoline inventories also fell by approximately 600 thousand barrels.

The decline in oil and gasoline inventories points to strong demand in the country.

International logistics disruptions caused by increasing regional risks in the Red Sea also continue to impact prices.

Following the announcement by the Houthis in Yemen that they would target all Israeli-flagged ships in response to Israel's attacks on the blockaded Gaza Strip, many companies, including the British energy firm bp, had suspended their voyages in the Red Sea for security reasons.

However, the announcement by some global shipping firms that they would resume their Red Sea shipments has strengthened expectations that the ongoing conflicts in the region may have a limited impact on maritime trade.

Technically, it is stated that the $77.77 to $78.27 range can be monitored as resistance for Brent crude, while the $77.27 to $76.77 range can be monitored as a support zone.

News Source: 12punto