This news helped the market bounce after weakness following the hawkish view the Federal Reserve took after its latest two-day meeting earlier this week, which boosted the U.S. dollar.
Crude oil prices fell Thursday, falling back from multi-year highs weighed by a stronger dollar after the Federal Reserve hinted at earlier than expected interest rate rises. The Federal Reserve concluded its latest two-day meeting on Wednesday, with its policy makers pointing to two interest rate hikes of 25 basis points in 2023, a year earlier than expected.
Brent crude, which acts as the global benchmark for oil, was up 49 cents, or 0.7%, to $74.48 per barrel by 12:35 PM ET (16:35 GMT). West Texas Intermediate crude, the benchmark for U.S. oil, rose 19 cents, or 0.3%, to $72.31 per barrel. Oil prices have been on a tear lately amid projections for one of the biggest ever summer demand periods for fuel in the United States as the country reopens fully from Covid-19 lockdowns.