London — Oil prices were steady on Thursday, as optimism over recovering Chinese demand was offset by US oil inventories hitting their highest in months and signs the US Federal Reserve could keep raising interest rates.
“Relentlessly rising US commercial inventories and potentially entrenched inflation limit any immediate upside potential,” said PVM analyst Tamas Varga. Crude oil stocks in the US rose last week to their highest since June 2021, helped by higher production, the Energy Information Administration said.US Federal Reserve officials said more interest rate rises are on the cards as the bank presses forward with its efforts to cool inflation, sending bearish signals across risk assets like oil and equities.
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