EUR/USD 1.16624
-0.108%
Gold 4552.86
0.207%
Oil 106.010
0.615%
USD/JPY 160.426
-0.009%
GBP/USD 1.34703
-0.039%
GBP/JPY 216.103
-0.044%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
SpaceX: 24 Starlink satellites have been confirmed for deployment.Unitree unveils Unitree dual-armed humanoid robot, priced from 26,900 yuan.Hong Kong-listed tech stocks weakened amid volatility, with Xiaomi Group (01810.HK), Tencent Holdings (00700.HK), Alibaba (09988.HK), and many others falling by more than 3%. Bilibili (09626.HK), Alibaba Health (00241.HK), Kuaishou (01024.HK), Baidu (09888.HK), JD.com (09618.HK) and other stocks followed suit.On April 30th, the Federal Open Market Committee (FOMC) of the U.S. Federal Reserve announced early this morning Hong Kong time that it would maintain the target range for the federal funds rate at 3.50-3.75%. The Feds decision to keep interest rates unchanged was in line with market expectations. The market generally believes that the future direction of U.S. monetary policy remains highly uncertain, depending on inflation trends and the employment market situation, particularly given the continued tensions in the Middle East leading to high oil prices, the impact of which on U.S. inflation remains to be seen. In Hong Kong, the monetary and financial markets are operating smoothly. Under the linked exchange rate system, Hong Kong dollar interbank rates generally converge with U.S. dollar rates, while shorter-term rates are also affected by the supply and demand of Hong Kong dollar funds in the local market, such as seasonal factors and capital market activity. The uncertainty surrounding future U.S. interest rate trends will also impact Hong Kongs interest rate environment. Citizens should fully consider and manage interest rate risks when making decisions regarding property purchases, investments, or borrowing. The Hong Kong Monetary Authority (HKMA) will continue to closely monitor market changes and maintain monetary and financial stability.On April 30th, the Trusted Data Space Sub-Forum of the 9th Digital China Construction Summit was held in Fuzhou on April 29th. Liu Liehong, member of the Party Leadership Group of the National Development and Reform Commission and Secretary of the Party Leadership Group and Director of the National Data Administration, emphasized that the next step is to better leverage the roles of a proactive government and an effective market, using high-value scenarios as a driving force to accelerate the construction of a value closed loop for data, encompassing "resource supply—product co-creation—value realization—benefit sharing." This involves deeply developing high-value scenarios driven by applications, continuously expanding data supply based on value, promoting innovative development through products, and building a win-win ecosystem with a focus on mechanisms, thus propelling the Trusted Data Space from pilot exploration to large-scale development.

As China's reopening enhances demand predictions, oil prices rise

Skylar Williams

Sep 19, 2022 10:47

74.png


The relaxation of COVID lockdowns in a key Chinese metropolis fuelled optimism regarding the ultimate revival of demand in the largest petroleum importer on the planet.


On Monday, Chengdu, the second-largest Chinese city plagued by COVID lockdowns after Shanghai earlier this year, will begin relaxing a two-week ban. It is projected that the relocation will improve economic activity in the city, with the restoration of public and private transportation contributing to the rise in demand.


London Brent oil prices jumped 1% to $92.50 per barrel by 20:49 ET, while U.S. West Texas Intermediate futures climbed 1.2% to $85.81 per barrel (00:49 GMT). Concerns over the likelihood of a worldwide recession resulted in three consecutive weeks of losses for both contracts, which are presently recovering.


The demand prognosis for this year has been significantly reduced due to lockdowns in China, rising inflation, and rising interest rates, resulting in a dramatic decrease in oil prices. China's economy was devastated by the halt of industrial production in a number of major centers.


In addition, supply gluts caused by the slow depletion of the U.S. Strategic Petroleum Reserve and supply increases by Russia contributed to the decline in prices from their annual peaks.


This week's focus is on a meeting of the U.S. Federal Reserve, during which it is widely expected that the central bank will raise interest rates by 75 basis points and signal future tightening. The move is also anticipated because August inflation data in the United States were greater than anticipated, indicating that inflationary pressures have yet to abate in the country.


These two factors are anticipated to weigh substantially on economic growth, which may have a negative effect on crude oil demand in the country. They are also expected to strengthen the dollar, making foreign crude imports costlier.


Last week, with the announcement of U.S. inflation statistics, oil prices declined significantly, while expectations of an increase in Russian output also weighed.


As winter approaches, however, it is expected that global oil demand will increase, as high natural gas prices push more nations to switch to oil for heating purposes.


Demand for gasoline in the United States has shown resilience so far in 2018 and is expected to remain stable in the coming months.

Suggestion