The rise in prices was driven by expectations that oil demand will increase in the world’s largest oil consumer country after data pointing to a slowdown in the core personal consumption expenditures price index, which the US Federal Reserve (Fed) considers as an inflation indicator.
Analysts stated that the inflation indicator, which continued to slow down and realized in line with expectations, increased expectations that the Fed may cut interest rates in the first half of the year.
Expectations that the Organization of the Petroleum Exporting Countries (OPEC) will extend the production cut to the second quarter of this year also contributed to price increases.
Concerns that weak economic data from China, the world’s second largest oil consumer, will negatively affect oil demand in the country also limit the upward movements in prices.
The manufacturing Purchasing Managers’ Index announced by China’s National Bureau of Statistics fell 0.1 points to 49.1 in February compared to January.
Leading economic activity data in the manufacturing industry indicate that the contraction that started in the last quarter of the year continued.
It is stated that technically, the range of 82.32 to 82.45 dollars can be followed as resistance and the range of 81.85 to 81.72 dollars as support zone in Brent oil.
