New York, Dec 9 (PTI) Texas Intermediate oil (WTI) opened 0.91% higher at $72.11 a barrel this Friday, after a week of apparent losses on renewed fears of recession.
At 9:00 a.m. New York local time (14:00 GMT), WTI futures contracts for January delivery were up 65 cents from the previous day’s close.
US benchmark oil prices were down slightly today after big losses this week: 3.8% on Monday, 3.5% on Tuesday and 3.02% on Wednesday.
The latest economic data released this week showed that the US economy is stronger than expected.
Investors interpret these positive data as an option for the US Federal Reserve (Fed) to raise interest rates to higher than expected levels and keep them longer.
Yesterday, Canada’s TC Energy said today that it has shut down its Keystone pipeline, the line carrying Canadian crude to the US and Gulf Coast, after a spill in Kansas Creek.
“The most notable market-driven headline in energy markets yesterday was the oil spill that resulted in the shutdown of the Keystone pipeline,” Tom Essey wrote in his Sevens report.
However, crude oil ended yesterday’s session with a downside as the market assumed that the closing would be brief.
“So far this week, concerns about a global recession have outweighed hopes that China will ease COVID-19 restrictions and eventually reopen its economy, as expectations on monetary policy took a sharp turn Says Essaye.