Oil Prices Surge on China Rebound

2 Jan 2025 , 10:22 AM

Thursday, the first day of trading in 2025, saw a slight increase in oil prices as investors cautiously monitored a resurgence in China’s economy and gasoline demand after President Xi Jinping promised to support growth.

After finishing up 65 cents on Tuesday, the final trading day of 2024, Brent crude futures increased 46 cents, or 0.6%, to $75.10 a barrel. After finishing 73 cents higher the day before, U.S. West Texas Intermediate oil futures increased 49 cents, or 0.7%, to $72.21 a barrel.

In his New Year’s speech on Tuesday, Chinese President Xi announced that the nation would adopt more aggressive policies to spur growth in 2025.

China’s manufacturing activity barely increased in December, despite a recovery in services and construction, according to an official survey issued on Tuesday. The data indicated that as China prepares for new trade risks from tariffs proposed by U.S. President-elect Donald Trump, policy stimulus is leaking into some sectors.

For feedback and suggestions, write to us at [e-mail]