Crude oil gains on Sino-US trade deal hope, improved demand outlook

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Crude oil gains on Sino-US trade deal hope, improved demand outlook

On Monday, the 4th of November 2019, both Brent and US crude futures’ prices scored modest gains after crude demand outlook had brightened up following progresses in Sino-US trade talk, while an IPO announcement of Saudi Aramco which could fetch a market valuation of roughly $1.5 trillion according to analysts, had added to investors’ optimism.

Meanwhile, Monday’s (November 4th) gain of crude oil prices despite another set of simmering US economic data casting holocaust over the economy, was almost entirely galvanized by advancements made in the Sino-US trade talk, while investors were expecting an interim deal to be signed as early as mid-November in the US States of Iowa.

Besides, adding further bullish wing to investors’ optimism that extended a record closing high of S&P 500, Beijing had been quoted saying on Monday (November 4th) that Chinese President Xi Jinping alongside his US Counterpart Donald Trump had been in contact through several means over the recent past on when and how an interim trade pact could be signed.

Aside from that, citing Fed’s upbeat touts over a slowing US economy alongside a looming Sino-US trade deal, a partner at Again Capital LLC., John Kilduff said on Monday’s (November 4th) market wrap-up, “Both sides (China and the United States) are talking up the trade deal to a large degree.

And you have the Federal Reserve leaning into this better-looking economic situation, which lifts all boats. ” Citing statistics, on Monday’s (November 4th) market round off, UK crude futures’ prices scheduled to be expired by January soared 0.7 per cent to $62.13 per barrel, while US West Texas Intermediate Crude futures due to be expired on December had winded down the day 0.6 per cent higher to $56.54 a barrel.