Oil Heading for Weekly Gains on U.S. Rate-Cut Hopes and Geopolitical Jitters
By
Giulia Petroni, Dow Jones Newswires
Oil prices were rising on hopes that the U.S. central bank will soon start cutting interest rates and fears of a wider war between Israel and Iran-backed militia group Hezbollah.
Both benchmarks are on track for weekly gains, with Brent crude up 0.5% to $85.70 a barrel, while WTI traded 0.6% higher to $82.25 a barrel.
U.S. jobless claims data showed the number of continuing applications for unemployment benefits hit the highest level in more than two years, pointing to an easing labor market, while revised GDP estimates indicated the U.S. economy expanded at a 1.4% annual pace from January through March, the slowest quarterly growth since spring 2022.
Meanwhile, tensions at the Israel-Lebanon border continue to keep markets on edge, raising risks of supply disruptions in the region.