Oil rises amid concerns about Chinese demand

Oil prices rose today, Wednesday, as the decline in supply as a result of production cuts by Saudi Arabia and Russia offset the impact of concerns about slowing demand from China, the largest importer of crude in the world, and a report showing an increase in US crude stocks.

According to “Reuters”, official media reported that the Saudi Cabinet affirmed, on Tuesday, its support for the precautionary measures taken by the Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC +, to achieve stability in the market.

Brent crude futures rose 22 cents, or 0.3%, to $86.39 a barrel by 0806 GMT.

US West Texas Intermediate crude rose 19 cents, or 0.2%, to $83.11 a barrel.

The two contracts had increased by nearly a dollar in the previous session

Crude oil achieved gains for the sixth consecutive week last week and reached its highest level since mid-April on Monday, supported by the decline in OPEC + supplies and hopes that the stimulus will enhance the recovery of oil demand in China.

Some downward pressure came from the American Petroleum Institute data on Tuesday, which showed, according to market sources, that US crude inventories increased by 4.1 million barrels last week, despite the decline in gasoline and distillate inventories.