Oil dips as potential Fed rate hike overshadow falling stocks

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Oil drifted lower on Wednesday as the market weighed potential interest rate hikes from the Federal Reserve that could slow growth and dampen oil consumption, offsetting falling U.S. inventories and strong Chinese economic data.

Brent crude futures shed 7 cents to $84.70 a barrel at 0320 GMT. West Texas Intermediate U.S. crude was down 5 cents to $80.81 a barrel.in store to fight inflation, Atlanta Fed President Raphael Bostic said on Tuesday.Prices had got a lift from an industry report showing that U.S. crude stocks fell by about 2.68 million barrels in the week ended April 14, according to market sources citing American Petroleum Institute figures on Tuesday.

The official inventory report by the Energy Information Administration, the statistical arm of the U.S. Department of Energy, is due at 1430 GMT on Wednesday.by a faster-than-expected 4.5% in the first quarter, while the country's oil refinery throughput rose to record levels in March, data showed. "The market has been impatient on the impact China’s reopening has had on demand. The fact that its economy is growing at its fastest pace in a year should buoyed well for demand in coming months," said Brian Martin and Daniel Hynes, analysts from ANZ Research, in a note.

"However, this is being offset by weakness elsewhere," they said, referring to the plunging refining margins for diesel and jet fuel that suggests global demand is softening. Distillates and gasoline cracks from Asia to Europe are weak amidst sluggish demand and increasing product supplies in the market. ,

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منبع: FXStreetNews - 🏆 14. / 72 ادامه مطلب »

Here's how different stock-market styles have performed during Fed rate pausesTraders and analysts are expecting one last Federal Reserve interest-rate hike in May before policymakers hit the pause button.
منبع: MarketWatch - 🏆 3. / 97 ادامه مطلب »