Energy Preview: Oil Recovering Near $120 Per Barrel

14 Jun 2022 , 09:10 AM

WTI crude is recovering near $120 per barrel on Tuesday as dollar takes a breather. The dollar index, that measures the greenback against a basket of currencies is hovering at 105.08, tracking US treasury yields that is soaring past 3.3%. However, expectation of aggressive Fed rate hike amid soaring US inflation levels and China lockdown amid rising Covid cases are likely to keep demand for crude low. A COVID outbreak at a bar in Beijing has raised fears of a new phase of lockdowns just as restrictions were being eased. Meanwhile, focus turns to the Federal Open Markets Committee that will end a two-day meeting on Wednesday with Fed rate hike possibility as May inflation rose to 8.6%, a 40-year high. Powered by Commodity Insights