Oil and Equity Markets Resume Trading with Muted Response

Deep News04-27 15:10

Oil prices advanced. The near-month contract for global benchmark Brent crude rose more than 2%. The June delivery crude contract climbed to around $107 per barrel, while the July forward contract increased to approximately $101 per barrel. Due to the impact of conflict, obtaining crude oil supply has become more difficult, leading the market to pay a premium for immediately deliverable spot crude.

The U.S. benchmark WTI June contract gained about 2%, trading near $96 per barrel. Investors and analysts continue to closely monitor shipping disruptions in the Strait of Hormuz. This narrow channel between Iran and Oman is a critical route for global oil and gas transportation, handling about one-fifth of the world's daily crude supply.

Equity markets edged lower. S&P 500 index futures indicated U.S. stocks would open slightly down by 0.3% on Monday. The index had gained about 0.5% last week, marking its first four-week consecutive advance since just before the October 2024 election.

Gasoline prices climbed. Data from the American Automobile Association (AAA) showed the national average gasoline price rose again on Sunday, reaching about $4.10 per gallon. Compared to the initial period of the conflict in late February, public gasoline costs for travel have increased by approximately 37%, though current prices remain slightly below the recent peak seen earlier this month.

Gasoline prices do not move in lockstep with crude oil markets; their increases and decreases typically lag by several days. Diesel price increases have been more rapid, with the national average hitting $5.46 per gallon on Sunday, representing a cumulative rise of about 45% since the outbreak of hostilities.

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