Oil rises on the background of positive news about the US national debt
[ad_1]
Oil prices rose on Monday after the US reached an agreement on the national debt ceiling. Reuters writes about this.
Photo: epravda.com.ua 0
►Read the “Ministry of Finance” page on Facebook: главные финансовые новости
How prices have changed
Brent crude futures rose 66 cents, or 0.9%, to $77.61 a barrel by 02:47 GMT, while U.S. West Texas Intermediate crude was at $73.42 a barrel, up 75 cents, or 1% higher.
It is expected that on Monday the trade will be “muted” because of the holidays in Britain and the USA.
What affected the price
US President Joe Biden and Speaker of the House of Representatives Kevin McCarthy on Saturday concluded an agreement in principle on suspending the $31.4 trillion national debt ceiling and limiting government spending for the next two years. On Sunday, both leaders expressed confidence that members of the Democratic and Republican parties will vote in support of the agreement.
Achieving an agreement and getting closer to avoiding default on the US debt restored investors’ appetite for riskier assets, such as commodities.
“The preliminary agreement on debt obligations led to a significant increase in risky assets, including crude oil,” noted CMC Markets analyst Tina Teng.
Read: The default is canceled: the US reached an agreement on the national debt limit
Last week, Brent and WTI rose by more than 1%, continuing to grow for a second week.
Prices rose as talks on the US debt ceiling showed progress, and after Saudi Arabia’s Energy Minister Abdulaziz bin Salman warned sellers of “short” positions betting that oil prices will fall to “beware of the pain.” .
Source: Ministry of Finance
Views: 16
[ad_2]
Original Source Link
