- WTI futures appreciate about 4% to $38,80 after a two-day decline.
- Oil prices rise as upbeat US data eases concerns about a second COVID-19 wave.
Front-month WTI futures contracts have bounced up from $37.05 lows on Thursday, to reach session highs near $39 following two consecutive days in red. Better than expected US macroeconomic data has eased investor’s fears about the potential impact of a second COVID-19 wave and has increased demand on commodities.
Oil prices appreciate on bright US data
WTI prices have appreciated nearly 4% after bouncing up from one-week lows earlier today. The positive surprise of provided by the US durable goods orders, which surged 15% in May after a 7% slump in April and the lower than expected increment on weekly unemployment claims have revived hopes that the US economy is on track to recovery.
Investor’s optimism, however, remains capped by the worldwide increase in coronavirus infections. Fears that a second wave of the pandemic will trigger lockdowns around the world and press down demand for commodities are keeping a lid on prices. Beyond that, US President Trump’s threat to open a European front on the trade war has depressed market sentiment further.
Likewise, the European benchmark, Brent, has risen about $1,30 during the US trading sessions, returning to levels beyond $41. Brent prices had lost approximately $4 over the previous two days, retreating from $44 highs earlier this week to one-week lows at $39.47.
WTI key levels to watch
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