Crude snapped a seven month losing streak on Friday, supported by an improving demand outlook and supply outages. Front-month March New York ultra-low sulfur diesel futures surged more than 7 percent intraday as March ULSD and RBOB rallied ahead of Friday contract expirations.
U.S. April crude settled up $1.59, or 3.3 percent, at $49.76 a barrel. The contract posted a 3 percent gain for the month of February, it’s first monthly gain since June. The U.S. crude contract’s gains have been hemmed in by rising crude oil inventories in the United States, up 8.4 million barrels last week, according to government data.
Brent April crude was up $3.90 at $62.40 a barrel, on pace to post a 16 percent monthly gain, the first monthly rise since June. Oil has been supported by signs that lower prices are starting to reduce investment in production in non-OPEC countries.
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.