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Oil drilling rigs
Oil prices rose in early trading today, June 6, despite oversupply concerns as OPEC+ decided to abandon some production cuts at the end of Q3 2024 and after official data showed an increase in crude inventories in the United States.
Brent crude was trading up 0.48% at $78.79 per barrel at 08:03 am Makkah time, after rising 1.15% in the previous session.
West Texas Intermediate (WTI) crude rose 0.65% to $74.55 per barrel.
US Energy Information Administration data released on June 5 showed that crude oil inventories rose by 1.2 million barrels last week, contrary to expectations of a decrease of 2.1 million barrels, indicating the possibility of a weak demand.
Oil prices are down by 4% on a weekly basis until today, affected by the OPEC+ decision to gradually abandon some of the voluntary production cuts starting from the end of the third quarter of the year.
Oil received some support during the past two sessions amid indications of a slowdown in the US labor market, as the private sector in the country added 152,000 new jobs in May, compared to adding 188,000 in the revised April reading, and against expectations of 175,000 increase.
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