📈 Oil prices registered a rising level after the United States promised to intensify attacks against the Houthi group in Yemen until they cease attacks on maritime transportation. President Donald Trump blamed Iran for the attacks carried out by the Houthis, supported by the country, in the context of the largest US military operation in the Middle East since Trump resumed office. In addition, China’s economic data also evolved into a rise in the price of oil, with growth in retail sales and increased crude oil production at the start of the year.💰 The increase in prices was driven by Brent oil futures, which rose by 0.7%, and West Texas Intermediate oil futures, which rose by 0.6%. The combination of the attacks in Yemen, particularly in the Hodeidah and Al Jawf regions, and China’s economic strength provided a favorable backdrop for the oil market. Chinese demand for oil was stimulated by an increase in domestic consumption, despite challenges such as rising unemployment and a reduction in industrial production. China’s oil production increased by 2.1% in the first months of 2025.
🌎 On the other hand, the rise in prices was also favored by the fall in the dollar, which made oil more affordable for international buyers. However, concerns about the global economic slowdown and escalating trade tensions between the US and other countries still hang over the market. Talks between Trump and Putin on the war in Ukraine, as well as the prospect of higher assessments on Iran, also influenced the dynamics of oil prices, while the OPEC+ plan to increase production in April put pressure on the market. Source: Reuters |
