WTI crude oil gained 2.24% to settle at $81.53 per barrel in today’s trading session. Prices have gained more than 6% in the past 30 days after a surprise production cut by OPEC+. Inflation data from China indicated continuing weak demand. Meanwhile, traders will be eyeing the U.S. inflation data due out on Wednesday. The U.S. economic data in the past month have rekindled hopes that the Fed could pause its interest rate hikes and ease up on its monetary tightening.
Furthermore, the U.S. Energy Information Administration (EIA) released its short-term energy outlook today. The EIA raised its average WTI oil price forecast for 2023 from $77.10 per barrel to $79.24 per barrel. However, it lowered its natural gas price forecast from $3.02 per MMBtu to $2.94 per MMBtu.
Nevertheless, natural gas prices notched 0.6% higher to close at $2.186. Year-to-date, natural gas prices overall have corrected by roughly 45%.
In addition, the Energy Select Sector SPDR ETF (XLE) has gained 1.21% in the past five trading sessions. Here is a list of energy stocks that can be influenced by the latest developments in the energy markets.
