Oil prices rise 2% driven by Red Sea tensions, US crude stock draw; Brent reaches $81/bbl
₹6,359 per bbl, having swung between ₹6,208 and ₹6,378 per bbl during the session, against a previous close of ₹6,253 per barrel. Also Read:India's crude oil output down 1.03% to 2.5 MMT in December, imports rise 1.1% YoY: PPAC -The US crude stockpiles tumbled by 9.2 million barrels last week, said the Energy Information Administration (EIA). The draw was driven by a stark drop in US crude imports as winter weather shut in refineries and kept motorists off the road.
-Geopolitical tensions in the Middle East remained in focus. In the latest blow to shipping around the Red Sea corridor, Maersk said explosions nearby forced two ships operated by its US subsidiary and carrying military supplies to turn around when they were transiting the Bab al-Mandab Strait off Yemen, accompanied by the US Navy. -On Thursday, Yemen's Houthi leader vowed to continue targeting ships linked to Israel until aid reaches the Palestinian people in Gaza.
Analysts say that energy markets wake up to the distinct possibility that these supply chain disruptions will rumble on for months yet. -Oil prices also drew support from hopes for China's economic recovery. China's central bank announced a deep cut in bank reserves on Wednesday, in a move that will inject about $140 billion of cash into the banking system and send a strong signal of support for a delicate economy and plunging stock markets.
-However, elsewhere, the spectre of sustained high interest rates loomed large. Data on Thursday showed the US economy grew at a faster pace than expected in the fourth quarter, suggesting the US Federal Reserve would be in no rush to cut interest rates. -The European Central Bank (ECB) retained its record-high benchmark rate of four per cent, giving no hint
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