Oil prices rose in Asian trade today, recovering from losses in New York sparked by disappointment over the lack of new central bank measures to boost the US economy and Euro zone, analysts said.
New York’s main contract, light sweet crude for September delivery advanced 50 cents to $87.63 a barrel and Brent North Sea crude for September delivery was 46 cents higher at $106.36.
The two contracts had closed lower yesterday, after the European Central Bank announced no fresh stimulus actions to boost economic activity. That followed a similar decision by the US Federal Reserve on Wednesday.
The sentiment remained subdued despite the modest jump in crude prices, which was spurred by profit-taking, the analysts said.
Investors were turning their attention to the release of US non-farm payrolls data for July, due out later today, for clues on the health of the world’s largest economy and the number one oil-consumer, the analysts said.
“Traders will be positioning themselves ahead of non-farm payrolls data tonight which have not had their usual frenzied build-up as markets have been distracted by the central bank meetings this week,” said Justin Harper, IG Markets Singapore’s market strategist.