• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 3 days Solving The Space Problem For America’s Solar Industry
  • 22 hours How Far Have We Really Gotten With Alternative Energy
  • 2 hours Investment in renewables tanking
  • 4 days Russian Officials Voice Concerns About Chinese-Funded Rail Line
  • 4 days If hydrogen is the answer, you're asking the wrong question
  • 12 days "Mexico Plans to Become an Export Hub With US-Drilled Natural Gas" - Bloomberg - (See image)

Breaking News:

U.S. Gasoline Prices Ripe For Volatility

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Oil Prices Inch Higher Ahead Of Fed Meeting

  • Oil prices inched higher in Asian morning trade, with WTI trading at $67.38 and Brent changing hands at $72.24.
  • Oil prices ended trade on Monday with another loss as demand concerns continue to dominate markets due to doubts over China’s economic recovery.
  • The Fed meeting begins today and most analysts expect a pause in rate hikes, a move that might stop the recent collapse in oil prices at least temporarily.

Crude oil prices inched up modestly in Asian morning trade today after ending trade on Monday with yet another loss, driven by demand concern.

As the latest Fed meeting begins today, however, eyes will be on the U.S., with most analysts expecting the central bank to announce a pause for rate hikes.

That would have a positive effect on prices although how durable that effect would be in the context of continued doubts about China’s rate of economic recovery is anyone’s guess.

At the time of writing, Brent crude was trading at over $72 per barrel, with West Texas Intermediate at close to $67.50 per barrel, both up by less than a percentage point since yesterday’s close.

West Texas Intermediate had shed 7% over the last three trading days, Bloomberg reported, dampened by demand concerns but also by the slowdown in the U.S. economy and sanction-resilient Russian crude exports.

Yet the report also noted that U.S. sour crude prices had strengthened, reaching a one-year high as the federal government signaled it may finally be ready to begin refilling the strategic petroleum reserve.

The government announced the purchase of 3 million barrels of crude last week alongside plans for the purchase of another 3 million later in the year.

"These 3 million barrels are being purchased for an average price of about $73 per barrel, lower than the average of about $95 per barrel that SPR crude was sold for in 2022, securing a good deal for taxpayers," the Department of Energy said, as quoted by Reuters, last week.

Even so, oil prices have generally remained subdued, whetting bargain-hunting appetites among traders, per Reuters.

"Some investors looked for bargains after the previous day's heavy selling while others held back their positions with speculation that Saudi Arabia may cut production additionally," a Nomura Securities economist told the news outlet.


By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:

Download The Free Oilprice App Today

Back to homepage

Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News