Crude oil prices remained stable on Monday as traders watched for the potential impact of Hurricane Beryl on production in the Gulf of Mexico and reported signals of stable demand during the summer.
Crude oil prices have been rising for four consecutive weeks due to expectations of increased demand during the summer and concerns about potential supply disruptions due to weather conditions. However, expectations of a decline in economic growth in China, the world’s largest oil importer, have softened recent gains.
September futures for the “Black Swan” crude oil type rose 0.2% to $86.67 per barrel, while West Texas Intermediate (WTI) crude oil remained at $82.28 per barrel. Both benchmarks remained close to their two-month highs.
Major ports in Texas closed over the weekend in preparation for Hurricane Beryl, which could disrupt crude oil deliveries from key regions.
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Initial forecasts minimized the impact of the hurricane, but after affecting Jamaica, concerns were raised about production disruptions in the Gulf of Mexico.
High tourist demand in the US during the Independence Day holiday and the reduction of oil inventories in the US supported prices, indicating stable demand during the summer. Geopolitical tensions in the Middle East also continued to support oil markets amid concerns of potential disruptions in regional oil production.
