Oil prices rose on Thursday ahead of weekly U.S. stocks data, despite fresh signs of an economic slowdown in China and Japan.
Crude prices have fallen more than 3 percent this week on persistent worries over global demand and a supply glut.
Benchmark crude futures nevertheless posted modest gains ahead of the U.S. Department of Energy (DoE) oil stocks report at 1500 GMT, which is expected to show a rise, according to a Reuters survey.
Brent crude futures LCOc1 rose 15 cents to $47.73 per barrel by 1340 GMT. U.S. crude futures CLc1 were up 30 cents at $44.45 a barrel.
“A lot of this rally will be profit-taking ahead of the DoE numbers,” said Hamza Khan, commodities analyst at Netherlands-based ING Financial Markets.
“The stage is set for a recovery but as long as we keep getting disappointing numbers out of China it will weigh and delay a recovery,” Khan said.
Japan’s core machinery orders fell 3.6 percent in July, data showed on Thursday, much worse than a 3.7 percent increase expected by economists.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.