Oil sits at 7-week high on robust demand outlook, Brent up 5% in June: How to place bullish bets on MCX crude?
₹6,743 per barrel on the multi commodity exchange (MCX).-A stronger US dollar helped keep crude oil prices in check. The US dollar rose to a seven-week high compared to the basket of other currencies, with Jerome Powell-led US Federal Reserve's patient approach to cutting interest rates contrasting with more dovish stances elsewhere.-The US Fed hiked interest rates aggressively in 2022 and 2023 to tame a surge in inflation.
Those higher rates boosted borrowing costs for consumers and businesses, which can slow economic growth and reduce oil demand. A stronger US dollar can reduce demand for oil by making dollar-denominated commodities like oil more expensive for holders of other currencies.-In the US, the world's biggest oil consumer, business activity crept up to a 26-month high in June amid a rebound in employment.
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