The price of a barrel of oil on world exchanges in just hours has increased by 1 USD per barrel . The reason for the price to push back from the 7-day low is the assassination of the leader of “Hamas“ Ismail Haniya in Iran. The reason for not reaching an even higher jump in the price is the forecasts of weak demand for the raw material from China.
Brent crude futures rose 1.5% to $79.80 a barrel ahead of July 31 expiration. US crude futures (WTI) rose 1.5% to USD 75.88 per barrel. Both Brent and WTI fell about 1.4% on July 30, closing at seven-week lows.
After 3 straight weeks of decline, long positions from speculative accounts in crude oil were significantly reduced. Therefore, the conditions are ripe for a rebound.“
Slowing fuel demand in China, the world's largest importer of crude oil and the biggest contributor to global demand growth, is also weighing on oil markets.
Manufacturing activity in China contracted for a third month in July, an official survey of factories showed on Wednesday, keeping alive expectations that Beijing will need to launch more stimulus as a lingering property crisis and job uncertainty slow growth.
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