Oil Prices Rise Thanks to Signs of a Strong Recovery in Fuel Demand

Oil prices rose for a second session on Wednesday, June 9, thanks to indications of strong demand for fuel in Western economies, while prospects for a return of Iranian supplies dissipated as the US Secretary of State said sanctions against Tehran were unlikely to be lifted.

Brent crude futures rose 32 cents, or 0.4%, to $ 72.54 a barrel, after earlier touching $ 72.83, the highest level since May 20, 2019. Brent rose 1% on Tuesday.

US West Texas Intermediate crude futures rose 31 cents, or 0.4%, to $70.36 a barrel, and had recorded $70.62, the highest level since October 17, 2018. Crude prices rose 1.2% on Tuesday.

On Tuesday, the US Energy Information Administration expected fuel consumption growth this year in the United States, the world’s largest oil consumer, to reach 1.49 million barrels per day, up from a previous forecast of 1.39 million barrels per day.

In another positive sign, data for the sector shows that US crude stocks fell last week, in line with analyst expectations according to a Reuters poll.