Oil prices show weekly growth amid expectations of stimulus in China
Kyiv • UNN
Brent and WTI oil prices showed weekly growth amid expectations of economic stimulus in China. The strengthening of the US dollar is restraining further growth in oil prices.
Oil prices rose slightly on Friday and were on track for a weekly gain, pushed by expectations that economic stimulus will boost the recovery in China, while a stronger dollar limited the rise, Reuters reports, UNN writes.
Details
Brent crude futures were up 14 cents at $73.40 per barrel at 7:50 GMT (9:50 Kyiv time). U.S. West Texas Intermediate crude was at $69.79, up 17 cents from Thursday. On a weekly basis, Brent was up 0.6% and WTI was up 0.5%.
The World Bank on Thursday raised its forecast for China's economic growth in 2024 and 2025, but said that subdued household and business confidence, as well as headwinds in the real estate sector, will continue to put pressure next year.
China, the world's largest oil importer, revised its estimate of gross domestic product for 2023 by 2.7%, but also said the change would not affect growth this year.
However, a stronger US dollar weighed on oil prices and limited growth. The currency rose by about 7% this quarter and remained at a nearly two-year peak against its major peers after the US Federal Reserve signaled slower rate cuts in 2025.
A stronger dollar makes oil more expensive for holders of other currencies.
