Oil steadied as persistent demand concerns and dollar strength were offset by drops in crude stockpiles in the US.
West Texas Intermediate traded near $75 a barrel, after declining by 0.5% on Wednesday. Nationwide inventories fell and stockpiles at the storage hub at Cushing, Oklahoma shrank by the most since October 2021, according to official data. However, that was tempered by a second weekly drop in demand for the main refined products -- gasoline, distillates and jet fuel.
A revival in the dollar, following a slump last week, added to the bearishness for oil, making commodities priced in the currency more expensive for most buyers. Crude has traded in a narrow range this week, and is still marginally down this year, after making a sharp break higher since late June on signs the market may finally be tightening.
China's efforts to revive growth, ranging from lower interest rates, easier access to credit and a series of measures to kick-start the moribund housing market have done little to bolster the economy of the biggest crude importer. The latest signal that Beijing was seeking to boost corporate confidence came late Wednesday, with a joint pledge by the Communist Party and the government to improve conditions for private businesses.
WTI for August delivery, which expires Thursday, fell 0.2% to $75.17 a barrel at 8:22 a.m. in Singapore. The more-active September contract declined 0.1%. Brent for September settlement declined 0.1% to $79.39 a barrel.
Source : Bloomberg
