Crude prices bounce back after 6 straight losing sessions

Published 2016-06-17, 06:29 a/m
© Reuters.  Oil moves higher for 1st time in 7 days on weaker dollar
LCO
-
CL
-

Investing.com - U.S. oil futures moved higher on Friday, after six consecutive sessions in the red as a weaker U.S. dollar lent support to the commodity and as concerns over a potential British exit from the European Union, Brexit, temporarily eased.

U.S. crude futures for July delivery jumped 1.43% to $46.87 a barrel, after hitting an one-month low of 45.84 on Thursday.

On the ICE Futures Exchange in London, the August Brent contract rallied 1.91% to $48.09 a barrel, off the previous session’s one-month trough of 46.95.

The U.S. dollar weakened broadly after the Federal Reserve kept rates unchanged at the conclusion of its two-day policy meeting on Wednesday and lowered forecasts for how much they expect to hike interest rates in the next few years.

Sentiment on the greenback also remained vulnerable after the U.S. Department of Labor said on Thursday that the number of individuals filing for initial jobless benefits in the week ending June 11 increased by 13,000 to 277,000.

In addition, the U.S. Commerce Department said consumer prices rose 0.2% in May, compared to expectations for a 0.3% gain. Year-over- year, consumer prices were 1.0% higher last month, below expectations for a 1.1% gain.

Investors were now eyeing the release of data on U.S. building permits and housing starts later in the day, for further indications on the strength of the economy.

Meanwhile, concerns over a possible Brexit temporarily subsided as campaigning for the June 23 referendum was halted late Thursday, after a pro-EU British lawmaker, Jo Cox, was shot to death while meeting with constituents.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.