Oil prices remain near weekly highs

On Thursday, oil prices remained stable in the area of local highs just below $77 per barrel. The current Brent quote is $76.61, WTI is trading at $72.45 per barrel.

On Wednesday, the oil market was supported by statements by US President Joe Biden, who expressed optimism about negotiations on the country's debt ceiling. Speaking at the White House, Biden said: «I am sure that we will have an agreement and the US will not default.»

These statements led to an increase in appetite for risky assets on world markets, including oil. Additional support for prices was provided by the report of the International Energy Agency (IEA), according to which, in the second half of 2023, oil demand may exceed supply by 2 million b/d, and 60% of this volume will be provided by China.

At the same time, yesterday's report by the US Department of Energy exerted some pressure on the oil market. The latest data reflected the growth of oil reserves in the country for the second week in a row – by 5.04 million barrels. Analysts predicted a decrease of 2 million barrels.

At the same time, gasoline commodity reserves decreased by 1.38 million barrels, distillate reserves increased by 80 thousand barrels. Experts predicted a reduction of the first indicator by 2 million barrels, the second by 1.5 million barrels.