The price of a barrel of Brent oil, which rose to $78.33 yesterday, closed the day at $77.20. As of 10:10, the price of a barrel of Brent oil decreased by 0.01 percent compared to the closing price, reaching $77.19. At the same time, a barrel of West Texas Intermediate (WTI) crude oil was sold for $73.12.
The American Petroleum Institute announced yesterday that it predicted that U.S. commercial crude oil inventories would increase by 347,000 barrels last week, contrary to market expectations. Market expectations were for inventories to decrease by 2.8 million barrels.
The increase in stocks reinforces the perception that demand is weakening in the US, and considering the recent increase in production in the country, it raises concerns about excess supply in the markets.
The U.S. Energy Information Administration will release official stockpile data later in the day.
Concerns about the country’s economy in China, the world’s largest crude oil importer, continue to negatively affect the demand outlook and put downward pressure on prices.
Meanwhile, markets are also focusing on ceasefire talks in the Middle East, where the majority of global oil reserves are located.
US Secretary of State Antony Blinken made his first stop in Israel as part of his regional tour to discuss prisoner swaps and ceasefire negotiations. Making his ninth visit to the region since October 7, Blinken also visited Egypt and Qatar.
Negotiations between Israel and Hamas were held in Doha, the capital of Qatar, on August 15-16 to discuss a prisoner swap and a ceasefire in the Gaza Strip.
Hamas had stated that Israeli Prime Minister Benjamin Netanyahu was preventing an agreement from being reached by insisting on new conditions in the negotiations mediated by the US, Egypt and Qatar.
Netanyahu had demanded new conditions be added, claiming that the ceasefire draft announced by US President Joe Biden on May 27 was different from the offer prepared by Israel. The Israeli Prime Minister had wanted the continuation of the Israeli occupation of the Netzarim Corridor, which divides Gaza in two, and the Gaza Strip, as well as the Philadelphi Corridor on the Egyptian border, as well as the Rafah Border Crossing.
It is stated that technically, the resistance range for Brent oil is between $78.16 and $79.93, while the support range is between $76.39 and $74.62.
