The post Crude Oil jumps as bullish elements such as Fed and fallout from tropical storm Francine outweigh Chinese growth concerns appeared on BitcoinEthereumNews.com.

Crude Oil jumps higher and turns green on the day.  Oil starts to price in a large Fed rate cut and tropical storm Francine wiping out 3.6m barrels of output. The US Dollar Index remains trading at the lower boundary of September’s bandwidth. Crude Oil has a change of heart at the start of the US trading session this Tuesay and turns green. Traders are starting embrace the bullish elements on the table for this week. The first element is the numbers from tropical storm Francine’s passage in the Gulf region as the evacuation of the area will account for nearly 3.6 million barrels less in oil output for last week.  Another driver that should support prices is the growing expectations that the US Federal Reserve (Fed) will opt for a large 50-basis-points interest-rate cut on Wednesday. This helps Crude Oil prices higher in the assumption that a bigger rate cut would give a brief push to the economic activity, which in turn would benefit Oil demand. At the time of writing, Crude Oil (WTI) trades at $69.78 and Brent Crude at $72.93. Oil news and market movers: US supply squeezed Bloomberg reports that there is some fallout in the Chinese slowdown in activity: two oil refiners in China were declared bankrupt. More than 12% of crude output in the US Gulf and 16% of Natural Gas output remain offline after tropical storm Francine hit the area, MT Newswires reports. Bloomberg reports that Francine has wiped out roughly 3.6 million barrels of Oil output last week, with lingering disruptions still in play for this week.  The restart of a key Iraqi Oil pipeline which was already closed for over a year is facing more delays with disagreements over costs, the nation’s prime minister Mohammed Shia AL-Sudani said. In this case, bad news is good…

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Filed under: News - @ September 17, 2024 3:25 pm