Oil Prices Rising on Stronger Economic Outlook and Declining US Inventories

Oil prices rose Wednesday, April 7, thanks to the possibility of stronger global economic growth in light of an increase in vaccinations and a report stating that crude stocks in the United States, the largest consumer of fuel in the world, fell. But optimism about talks between the United States and Iran over the latter’s nuclear program and an expected increase in supplies from major producers dampened the gains.

Brent crude futures rose 16 cents, or 0.3%, to $62.90 a barrel, while U.S. West Texas Intermediate crude futures for May delivery increased 14 cents, equivalent to 0.2%, to $59.47.

And prices were supported by data on Tuesday, which showed that new jobs in the United States increased to the highest level in two years in February and increased hiring. This followed previous data that showed improvement in the services sector in both China and the United States.

Prices were also boosted by optimism about a greater expansion of vaccination campaigns after US President Joe Biden announced the advancement of vaccinations for all adults in the United States to April 19.