Price movements
Brent crude futures rose $1.23, or 1.67 percent, to settle at $74.88 a barrel.
U.S. crude futures rose $1.04, or 1.47 percent, to settle at $71.95 a barrel.
The US Federal Reserve cut interest rates by half a percentage point on Wednesday. Lower interest rates usually boost economic activity and increase demand for energy, but the market took the cut as a sign of tight labor markets, which could slow the economy.
“While the 50bp rate cut signals significant economic challenges ahead, bearish investors were not satisfied after the Fed raised its medium-term rate forecasts,” analysts at ANZ said in a note.
And I stay Bank of England Today, Thursday, interest rates were left unchanged at five percent.
China’s oil refinery output fell for the fifth straight month in August, data from the country’s statistics bureau showed.
Industrial output growth also slowed. China to a five-month low last month, and retail sales and new home prices continued to decline.
Analysts at Citibank say they expect a deficit in the market. Oil By about 0.4 million barrels per day to support Brent crude prices in the $70-$75 per barrel range over the next quarter, but this will be temporary.
