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Crude Pulls Back On Rate Hikes, USD

OIL

Crude prices have been declining with a stronger US dollar, concerns over bearish impact from interest rate hikes in the US this year and an expected small build in US oil inventories.

  • Concerns for the US economy are weighing on crude prices following remarks from Fed Chair Jerome Powell yesterday saying two more interest rate hikes of 25 basis points each by the end of a year was very probable.
  • Crude inventories are expected to remain almost unchanged from last week with a small build of just 0.017mbbls for the week ending 16 June according to a Bloomberg survey.
  • Brent AUG 23 down -2.5% at 75.21$/bbl
  • WTI AUG 23 down -2.6% at 70.63$/bbl

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