Oil prices are rising, but they are heading for a weekly declinebuoyed by fears of a possible drop due to stagnation in fuel demand, outstripping revised global supplies.
Recession fears increased after many central banks, such as the United States Federal Reserve (Fed), They raise interest rates to control inflationsparking concerns that higher borrowing costs could stifle growth.
Meanwhile, massive COVID-19 tests have been conducted in Shanghai this week It raised fears of a possible shutdown that could also affect oil demand.
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Prices of a barrel of Brent and Texas oil today, July 8: How much does it cost and how much does it cost?
This Friday, July 8th, Brent crude futures are trading at $106.73 per barrel An increase of 1.99% or $2.08. secondly, US West Texas Intermediate crude rose $1.68, or 1.64%, and was trading at $104.41.according to an update at 12:39 PM ET from OilPrice.com, a popular website with more than 150 oil indices and blends worldwide.
Both benchmark indexes are heading for weekly declines, after the first monthly declines since November. Crude oil prices fell on Tuesday, when Brent recorded a decrease of 10.73 dollarswhich is the third largest drop for the contract since it began trading in 1988.
Economic concerns may have weighed on oil prices this week, but the market continues to show bullish signs. This is because the supply shortage is more likely to intensify from this point rather than decrease.”Stephen Brennock of oil broker PVM said, according to Reuters.