Zeynep Beyza Kılıç
07 March 2024•Update: 07 March 2024
ANKARA
Oil prices are little changed on Thursday amid data showing a drop in demand in the US offset by ongoing geopolitical tension in the Middle East.
International benchmark Brent crude traded at $82.92 per barrel at 10.26 a.m. local time (0726 GMT), with a 0.05% fall from the closing price of $82.96 a barrel in the previous trading session.
The American benchmark West Texas Intermediate (WTI) traded at $79.14 per barrel at the same time, a 0.01% rise from the previous session which closed at $79.13 per barrel.
US commercial crude oil inventories increased by 1.4 million barrels last week, according to data released by the Energy Information Administration on Wednesday.
The American Petroleum Institute's latest estimate released on Tuesday revealed that crude oil inventories rose by 423,000 barrels last week, marking the fifth consecutive week of rises.
Buildup in inventory suggests a drop in demand in the US, the world's biggest oil consumer, and puts downward pressure on prices.
Meanwhile, Global supply concerns heightened by ongoing tension in the Middle East continue to push oil prices higher.
Yemen's Houthi group announced Wednesday that the US and UK conducted two airstrikes on Al Hudaydah International Airport in western Yemen. The strikes came hours after two sailors were killed and several others went missing after an attack by Houthis targeting the Barbados-flagged True Confidence cargo ship in the Gulf of Aden.
The US military announced on Thursday that it had carried out defensive strikes against two unmanned aerial vehicles or drones in an area controlled by Yemen's Houthis which had been aimed at US Navy ships and merchant vessels in the region.
The weakening of the US dollar against other currencies also supports the price increase.
The US dollar index, which measures the US dollar's value against other currencies, fell 0.15% to $103.21. The weak dollar is expected to enhance demand by making oil cheaper for those who use foreign currencies.
