Singapore, August 16 (FFN) – Oil prices dipped on Friday morning, but they are still on track for a weekly gain, marking the second consecutive week of growth. Updated economic data from the U.S. at the end of the week has eased investor concerns about a potential recession in the world’s largest oil consumer.
A barrel of West Texas Intermediate (WTI) crude oil for September delivery was trading at $77.76 at 7:11 AM CEST, down by 40 cents or 0.51%, compared to the previous day’s close. The October contract for Brent crude fell by 31 cents or 0.38% to $80.73 per barrel.
Positive economic reports from the U.S., including a 1% increase in retail sales in July, significantly above the market’s forecast of 0.3%, have helped alleviate recession fears. Additionally, last week saw a decrease in the number of new jobless claims, indicating a stabilizing labor market.
However, the growth in oil prices is being tempered by mixed signals regarding demand in the U.S. and China. U.S. oil inventories saw a surprising increase earlier this week, while Chinese refineries, the world’s largest oil importer, sharply reduced their processing rates last month due to weak fuel demand.
Oil Price Summary – August 16
| Commodity | Price | Change | Time (CEST) |
|---|---|---|---|
| West Texas Intermediate (WTI) | $77.76 per barrel | -$0.40 (-0.51%) | 7:11 AM |
| Brent Crude | $80.73 per barrel | -$0.31 (-0.38%) | 7:11 AM |
Key Economic Indicators
| Economic Indicator | Latest Data | Market Expectation |
|---|---|---|
| U.S. Retail Sales (July) | +1.0% | +0.3% |
| New U.S. Jobless Claims (Last Week) | Decreased | N/A |
| U.S. Oil Inventories | Unexpected Increase | N/A |
| China Refinery Activity (July) | Significant Decline | N/A |
(1 EUR = 1.1011 USD)
