Oil Extends Two-Day Climb on Renewed Optimism for US Rate Cuts

Oil advanced for a third day to trade at a one-week high as US jobs data supported the case for Federal Reserve rate cuts this year, buoying risk assets including crude.

Brent pushed above $84 a barrel after a two-day climb that added about 1%, rebounding from the 100-day moving average. West Texas Intermediate neared $80. Initial applications for US unemployment benefits increased to the highest level since August, supporting the case for looser monetary policy. The dollar slipped on Thursday, making commodities more attractive for most buyers.

oil set smallest

Crude’s latest gains mask relatively muted price action, with futures set to log their smallest weekly trading range since March. Prices remain higher this year, aided by OPEC+ supply cuts, solid global demand, and recurrent tensions in the Middle East. The Organization of the Petroleum Exporting Countries and its allies are due to meet next month to decide on output over the second half.