Crude and refined product futures rose across the board by midday Tuesday, after U.S. data showed inflation cooled more than expected and as the International Energy Agency raised its global oil demand forecast.
The futures complex jumped as the dollar index tumbled more than 1%. Earlier Tuesday, Labor Department data showed core prices–which exclude volatile food and energy items–rose 4% from a year earlier, the smallest annual change since September 2021, prompting analysts to suggest that Federal Reserve policymakers should halt interest rate hikes.
At 11:25 a.m. ET, NYMEX December West Texas Intermediate crude futures were up $1.40 to $79.65/bbl, and January WTI also gained around $1.40 to $79.55/bbl.
London-based January ICE Brent crude futures were ahead by $1.40 to $83.90/bbl, and February Brent rose by a similar amount to $83.60/bbl.
Among refined product futures, most-active January NYMEX RBOB was up 3.50cts to $2.2440/gal, and front-month December RBOB climbed by 3.40cts to $2.27/gal.
January ULSD was 3.70cts higher at $2.8135/gal, and December ULSD rose 4.25cts to $2.8815/gal.
According to IEA’s monthly report, the agency raised its total oil demand growth expectation for 2023 by 100,000 b/d to 2.4 million b/d, taking total demand to an average of 102 million b/d. IEA cited strong crude consumption from both China and the U.S.
This content was created by Oil Price Information Service, which is operated by Dow Jones & Co. OPIS is run independently from Dow Jones Newswires and The Wall Street Journal.
–Reporting by Frank Tang, [email protected]; Editing by Michael Kelly, [email protected]
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