US Dollar weakness jostles with market’s cautious mood to probe Oil buyers.WTI crude oil seesaws near $79.00 as energy traders await Chinese growth numbers during early Tuesday.
The black gold began the week’s trading on a negative note by reversing from the highest levels in two weeks as the US Dollar rebounds from a multi-month low despite the US holiday. However, the expectations of more Chinese energy demand and comments from the United Arab Emirates Energy Minister seemed to have put a floor under the WTI crude oil prices. fades bounce off the lowest levels since early June 2022, down 0.05% intraday near 102.
Elsewhere, easing Covid restrictions allowed the world’s biggest oil consumer, China, to boost its energy import and favor WTI bulls. “China's crude imports rose 4% year-on-year in December, and an expected resurgence in travel for the Lunar New Year holiday at the end of the week raised theIt should be noted that UAE Energy Minister Suhail al-Mazrouei said on Monday that oil markets were balanced, per Reuters. The news also quotes the diplomat as citing an imbalance in the gas market.
Moving on, China's Gross Domestic Product for the fourth quarter , expected -0.8% QoQ versus 3.9% prior, will be crucial for energy traders to watch for clear directions. On the same line will be December month Industrial Production and Retail Sales data from the dragon nation. Should Beijing reports a positive surprise, the Oil price will have additional upside to track.