Oil Prices Edge Higher in Early Trading

8 Feb 2024 , 08:51 AM

Oil prices increased on Thursday as negotiations to resolve the Gaza conflict and broader Middle East concerns that have unsettled the market since October resumed after Israel turned down a cease-fire request from Hamas.

Strong indications of fuel demand in the United States this week supported the market’s rising trend.

Brent crude futures were up 22 cents, or 0.28%, at $79.43 per barrel. At $74.05 per barrel, U.S. West Texas Intermediate crude futures increased by 19 cents, or 0.26%.

Although U.S. Secretary of State Antony Blinken stated there was still opportunity for negotiations towards an accord, Israeli Prime Minister Benjamin Netanyahu turned down Hamas’ most recent offer for a truce and the release of hostages held in the Gaza Strip.

On Thursday, a delegation from Hamas in Palestine, headed by top official Khalil Al-Hayya, was scheduled to arrive in Cairo for negotiations on a truce with Egypt and Qatar.

A far larger-than-expected decline in petrol stockpiles in the United States that was reported on Wednesday supported the market on the demand side.

According to the U.S. Energy Information Administration, petrol inventories in the country decreased by 3.15 million barrels last week, although analysts had predicted a rise of 140,000 barrels.

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