Oil increases as fresh China data signals demand rebound

Author: APP

Oil prices rebounded on Wednesday after better-than-expected industrial data from China, the world’s largest oil-importing country, while looming demand issues, including a build in US crude oil inventories and growing fears of further US interest rate hikes, weighed on prices. International benchmark Brent crude traded at $84.08 per barrel at 10.09 a.m. local time (0709 GMT), up 0.75% from the closing price of $83.45 a barrel in the previous trading session. At the same time, American benchmark West Texas Intermediate (WTI) traded at $77.67 per barrel, a 0.80% increase after the previous session closed at $77.05 a barrel. China’s National Bureau of Statistics released much-anticipated data on Tuesday, revealing that Chinese industry activity increased significantly in February. The official manufacturing purchasing managers’ index increased to 52.6, signaling further expansion in the world’s second-largest, oil-consuming country. The data, which raised positive oil market sentiment and encouraged crude oil purchases, was the highest reading since April 2012, when it reached 53.5.

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