Oil Summary at European Close: Crude on the Rise

Crude prices are gaining ground after more reassuring US jobless data may stem some the growing pessimism for the near-term macroeconomic outlook.

• Brent OCT 24 up 0.7% at 78.86$/bbl
• WTI SEP 24 up 1.1% at 76.09$/bbl
• Initial jobless claims were lower than expected in the week to Aug 3, at a seasonally adjusted 233k (cons 240k) as they retreated from a slightly upward revised 250k (initial 249k).
• Markets remain on edge until they see the likely Iranian response towards Israel following the killing of senior members of militant groups Hamas and Hezbollah last week.
• CNN reported late on 7 August that according to two of its sources, Lebanese Hezbollah could launch a retaliatory attack against Israel before Iran delivers its own strike.
• Russian’s crude shipments by tankers operating outside of the G7’s price cap fell by over 10% in July, amid renewed pressures from Western sanctions and the Kremlin cutting exports, Platts said.
• Oil could bounce to the low-to-mid-$80’s after the recent sell off according to Citi analysts in a research note Wednesday, citing geopolitical tensions and weather.
• Oils fundamentals remain table despite macro fears according to Energy Aspects director of research Amrita Sen speaking with Bloomberg TV.