Oil gains as market gripped by volatility before inflation data
BNN Bloomberg
Oil climbed after sliding below US$100 a barrel on Tuesday as choppy trading gripped the market before a US inflation print.
West Texas Intermediate rose almost 1 per cent on Wednesday after tumbling 7.9 per cent in the previous session to close at a three-month low. US inflation data for June is due Wednesday and economists project that it surged again, keeping the Federal Reserve geared for another big interest-rate hike.
Oil has given up the gains seen in the wake of Russia’s invasion of Ukraine, which drove the US benchmark above US$130 a barrel in March. Crude prices pose a high risk to global economic recovery, with signs that fuel costs are starting to “take their toll” on demand growth, according to a monthly report from the International Energy Agency.
