Oil Continues Its Gains, Closing Near Six-Month High
Oil prices experienced a slight decline during the weekend trading sessions, yet they maintained their recent gains, closing near six-month highs amid a fragile balance of supportive and pressuring factors in global markets.
Slight Decrease in Brent and WTI Prices
At the close, futures for Brent settled at $70.69 per barrel, down just two cents, which is 0.03%. Meanwhile, West Texas Intermediate (WTI) ended at $65.21 per barrel, recording a decline of 21 cents, equating to 0.32%.
The Strength of the Dollar Weighs on Oil Prices
This limited decrease is primarily attributed to the rise of the US dollar, which reached its lowest level in four years earlier in the week, putting pressure on oil prices denominated in dollars.
Impact of Political Developments on Markets
The strengthening of the greenback is also linked to the announcement by US President Donald Trump, who nominated Kevin Warsh, a former member of the Federal Reserve Board, to lead the US central bank, as the current president Jerome Powell nears the end of his term in May. This announcement has bolstered market expectations regarding the future trajectory of US monetary policy.
