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Oil prices gained in today's trading on comments of Ali al-Naimi, Saudi Arabia's oil minister. He stated that markets are calm now and demand is growing. Better-than expected data from China, the world's second-largest oil consumer also supported prices. The HSBC Manufacturing PMI rose from 49.7 to 50.1 to a four month-high, above the estimated reading of 49.6. Brent Crude added +0.82%, currently trading at USD59.14 a barrel. On January 13th Crude hit a low at USD45.19. West Texas Intermediate added +0.63% currently quoted at USD49.59, still below USD50 a barrel. Prices were further supported by the FED's flexible approach to raise interest rates and by the fact Eurozone's finance ministers approved the four-month bailout extension on Tuesday and accepted the list of reforms proposed by the Greek government.
Today at 15:30 GMT Crude Oil Inventories will be closely watched. Yesterday API Crude Oil Inventories rose by 8.9 million barrels.
Still worldwide supply exceeds demand in a period of low global economic growth limiting the impact of positive macroeconomic news.
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