WTI partially reverses weekly decline, advances past $78.00

Prices for WTI have recovered from recent lows at $77,000. Crude oil lost four straight weeks of gains. On Friday, traders’ attitude was still negatively impacted by recession worries.

Prices for WTI barrels manage to rekindle some buyer interest on Friday, moving beyond the $78.00 threshold.

Following a significant rejection from post-OPEC+ 2023 levels north of the $83.00 mark (April 12), WTI prices have increased for the first time this week. Furthermore, after four straight weeks of gains, crude oil is still on track to end the first week with losses.

Even while traders are still concerned about a probable economic slowdown and how it would affect the demand for crude oil, shifting trends in the dollar seem to have given the commodity some support.

The aforementioned seems equally supported by continuing anticipation of additional Federal Reserve tightening at the meeting in May, while the favourable GDP outlook in China is considered as minimising the possible downside of the commodity.

Driller Baker Hughes will provide its weekly update on the number of US oil rigs in the week ending April 21 later in the afternoon.

The next barrier for the WTI barrel, which is currently up 1.18% at $78.04, is $82.50, followed by $83.49 (2023 high April 12), and then $92.90 (monthly high November 7 2022).