Oil takes breather, gold falls
March 12, 2021SharePrint
Oil pauses for breath after Thursday’s jump
After some descent swings across the week, oil is heading into the weekend on a calmer note. Oil prices surged 2.4% on Thursday, boosted by President Biden signing off on the largest fiscal stimulus package in US history and his promise to vaccinate all American adults by 1
st May. Expectations for future demand have risen sharply in line with what is now expected to be a faster US economic recovery. The fact that the US driving season could be back on is an added bonus.
In the monthly oil market report OPEC revised lower its estimates for oil in the first half of the year, which, with hindsight makes the OPEC+ group’s decision last week less surprising. The cartel also upwardly revised its demand estimates for H2, turning more bullish in the second half of the year.