Pre Open US - US Oil 11 Aug 2023

Oil prices rose as OPEC and the IEA offered positive demand outlooks. The IEA cautioned about potential inventory drops in 2023, possibly driving prices higher. However, demand growth is expected to slow to 1 million bpd in 2024. OPEC forecasted a 2.25 million bpd rise in global oil demand in 2024, reflecting continued growth in China. U.S. consumer price data for July hinted at the Federal Reserve nearing the end of rate hikes. Supply-wise, output cuts by Saudi Arabia and Russia supported prices, alongside concerns of Russia-Ukraine conflict disrupting oil shipments. Mixed Chinese economic data impacted sentiment, with crude imports rising but overall exports dropping.

Technically, WTI made an awaited breakout beyond the 83-resistance level and now the 100MA on the weekly channel will be the next challenge.