Oil Price Stable After Some Profit Taking

Oil futures steadied after setting new 2016 highs on Thursday as traders locked in profits, though analysts said supply disruptions, strong investor appetite and a weakening dollar could push prices higher soon.

Brent crude futures were trading at $47.21 per barrel at 1329 GMT, up 3 cents from their last settlement and off an earlier high of $47.59.

U.S. West Texas Intermediate (WTI) futures were up 4 cents at $45.37 a barrel after reaching a new 2016 high of $45.71.

Brent and WTI have rallied more than 70 percent since hitting their respective 2016 lows in January and February.

Record crude storage figures may have spurred some investors to take profits by closing positions betting on a rise in prices, traders said.

Government data on Wednesday showed that U.S. crude stocks climbed 2 million barrels last week to an all-time peak of 540.6 million barrels. [EIA/S]

Despite slipping from the highs, analysts said oil market sentiment had clearly turned bullish and further price rises were likely.

via Reuters

Content 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 Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.