High oil prices

Oil prices have increased today, with investors exploiting the losses of the previous day despite continuing concerns about the unsuccessful economic conditions caused by customs duties and US monetary policy that may weaken fuel demand.

By 04:21 GMT, Brent crude futures rose 36 cents, or 0.5 percent, to $ 66.62 a barrel.

The US West Texas Intermediate crude futures increased the delivery of May, which will expire today, 65 cents, or one percent, to $ 63.73 a barrel.

US crude contracts increased for the most traded for the month of June 43 cents, or 0.7 percent, to $ 62.84 a barrel.

The two standards decreased by more than 2% yesterday, Monday.

“Some coverage of the open centers appeared after the sharp sales on Monday,” said Hiroyuki Kikokawa, chief analyst in Nissan Squares Investment.

But he added, “Fears regarding the possible recession caused by the customs duties war are still in place,” expecting US crude to trade in a range of $ 55 to $ 65 at the present time due to the continuous uncertainty associated with customs duties.

US President Donald Trump reiterated his criticism of the President of the Federal Reserve (US Central Bank) Jerome Powell, and said that the American economy may slow down unless interest rates are reduced immediately.

Its comments on Powell raised concerns about the independence of the Federal Reserve in defining monetary policy and expectations for American assets.

The main American stock indicators decreased, and the dollar index fell to the lowest level in three years yesterday.

“It is expected that the increasing fog surrounding the US monetary policy negatively affects the financial markets and the wider economy, which raises fears that it will lead to a decrease in demand for crude oil,” Kikokawa said.

A poll showed, to Reuters on April 17, that investors believe that the customs duties policy will lead to a great slowdown in the American economy this year and next year, with the average possibility of stagnation in the next twelve months of 50 percent.
The United States is the largest oil consumer in the world.

A preliminary poll showed that crude oil and gasoline stocks in the United States are expected to decline last week, while the distillation products are likely to increase, before the release of the two weekly reports from the American Petroleum Institute and Energy Information Management.