Oil Prices Climb to $64.95 as China’s Imports Jump 5%
Samuel Mobolaji
Oil prices rose on Monday as China’s crude imports surged nearly 5 per cent year-on-year in March, rekindling hopes of a stronger demand recovery from the world’s second-largest economy.
Customs data showed imports hit 51.41 million metric tonnes, equivalent to 12.1 million barrels per day, driven by a spike in Iranian and Russian oil inflows.
Brent crude and US West Texas Intermediate (WTI) edged higher by 0.3 per cent to $64.95 and $61.66 per barrel, respectively, as traders balanced the bullish Chinese data against the prospect of increased OPEC+ supply this May.
Read Also: NGX Index Slips 0.03% as Investors Lose N21bn to Sell-offs
Market sentiment was further stirred by shifting signals from Washington over tariff exemptions, with President Donald Trump denying reports that US electronics were permanently spared from steep new duties.
Uncertainty over US-China trade tensions kept prices volatile, while the US dollar index slipped to a three-year low of 99.014, making dollar-priced commodities like crude more attractive to global buyers.
Meanwhile, US oil rigs dropped by nine to 480 for the week ending April 11, according to Baker Hughes, deepening the year-on-year decline by 26 rigs and reinforcing expectations of tightening US supply.
As traders await further economic indicators from China this week, the sharp rebound in the country’s crude appetite has fuelled cautious optimism that global oil demand could defy the weight of geopolitical headwinds and rising supply pressures.
About The Author
