Oil Prices Maintain Steady Course
Forex - Starting the week with optimism that the announced economic stimulus efforts will lead to a recovery in China, oil prices have settled into a sideways trend today. Brent crude oil rose by 2 cents to $73.28. U.S. West Texas Intermediate crude increased by 2 cents to $69.64. On a weekly basis, Brent is up 0.4% and WTI is up 0.2%.
The World Bank raised its economic growth forecast for China for 2024 and 2025 on Thursday, but warned that low household and business confidence, along with challenges in the real estate sector, would continue to dampen growth next year.
As the world's largest oil importer, China revised its 2023 gross domestic product forecast upward by 2.7%, but stated that the change would have little impact on this year's growth.
The first resistance for Brent oil is at $73.68. If this level is surpassed, a target of $74.35 may be set. The first support today is at $73.14.