On Monday, February WTI crude oil closed up by $1.34 (2.36%), reaching a notable increase following unsuccessful weekend negotiations to resolve the Ukraine-Russian conflict. Additionally, Chinese energy demand is expected to grow after the government announced plans to support economic growth, contributing to a 10% month-over-month rise in Chinese crude imports, projected to reach a record 12.2 million barrels per day (bpd).
In related developments, the U.S. delayed the weekly inventory report from the Energy Information Administration, initially scheduled for release last Wednesday. This report has significant implications, as U.S. crude oil production decreased by 0.1% week-over-week to 13.843 million bpd, slightly below November’s record of 13.862 million bpd. Meanwhile, the active U.S. oil rig count has increased by three rigs to 409, recovering from a 4.25-year low of 406 rigs a week earlier.
