Oil prices rise for fifth day on eased recession fears and Middle East tensions
Shafaq News/ Oil prices rose for afifth consecutive session on Monday, holding on to last week's more than 3%gains, as US recession fears eased while geopolitical tensions in the MiddleEast supported prices.
Brent crude futures climbed 22cents, or 0.3%, to $79.88 a barrel by 0458 GMT, while US West TexasIntermediate crude futures rose 36 cents, or 0.5%, to $77.20.
"Support is coming from lastweek's better-than-expected US data which eased fears of a US recession,"IG markets analyst Tony Sycamore said.
"There is also a great deal ofanxiety about when Iran might look to avenge Israel's assassination of keyHamas and Hezbollah leaders. Feels like a matter of when - not if."
Iran and Hezbollah have vowed toretaliate for the assassinations of Hamas leader Ismail Haniyeh and Hezbollahmilitary commander Fuad Shukr.
"The market is still waitingfor Iran’s response," ING's head of commodities research Warren Pattersonsaid.
In addition, the Israeli incursioninto Gaza intensified on Saturday with an airstrike on a school compound thatkilled at least 90 people, according to the Gaza Civil Emergency Service,though Israel said the death toll was inflated. Hamas cast doubt on itsparticipation in new ceasefire talks on Sunday.
Brent ended last week up more than3.5% on the week, while WTI gained more than 4%, on supportive economic dataand increased hopes of a US interest rate cut.
Three US central bankers said lastweek that inflation appeared to be cooling enough for the Federal Reserve tocut interest rates as soon as next month.
China's consumer prices rose fasterthan expected in July, and US weekly jobless claims fell more than expectedlast week.
(Reuters)
