Daily market commentary: Brent oil prices hedge higher

Steffy Bogdanova
November 23, 2022 11:55 am

Oil

Brent oil prices hedged higher during early Wednesday trading. The release of US oil inventories data revealed an unexpected decrease of 4.8 million barrels over the course of the previous week. This surprisingly large drawdown overshadowed expectations of a reduction in demand, caused by the reinstating of Covid-related restrictions in China. Another factor also driving the recovery in oil prices is the uncertainty over how Russia may react to the expected imposition of a cap on its oil prices, which is being planned by the G7.

Daily Market Commentary

Should such plans go ahead, Moscow is likely to react by further restricting exports, in a move that could create scope for further gains in the price of the barrel.

Ricardo Evangelista – Senior Analyst, ActivTrades

Disclaimer: opinions are personal to the authors and do not reflect the opinions of LeapRate. This is not a trading advice.

LeapRate Analyst

Experienced writer and journalist, working in the global online trading sector, Steffy is the Editor of LeapRate. She has previous experience as a copywriter and has been with the company since January 2020. Steffy has a British and American Studies degree from St. Kliment Ochridski University in Sofia.
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