Crude oil prices closed up $1.64 on Wednesday (Dec. 22), driven by the dollar’s depreciation and the Chinese government’s insistence on taking measures to support the economy. Including support for the manufacturing sector.
- WTI crude futures were up $1.64 to close at $72.76 a barrel.
- Brent crude futures were up $1.31 to close at $75.29 a barrel.
Crude oil prices were driven by a weaker dollar. This makes the price of oil contracts cheaper for investors holding other currencies.
In addition, oil prices rose after China’s National Development and Reform Commission (NDRC) and the director of China’s National Bureau of Statistics said China would increase government spending.
Include a guarantee of price stability to boost people’s confidence and create stability in the industrial supply chain. In addition, focus on solving the chip shortage problem and additional monitoring of raw material prices.
U.S. crude oil inventory continued to decline last week by -4.715M barrels. This can be seen as a bullish sign for crude oil prices as demand seems to remain good. On the other hand, the fuel inventory has increased by 5.533M barrels.
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Thursday, December 23, 2021