The oil price looks optimistic. What are the reasons?
Oil is narrowly mixed in Asia as China manufacturing PMI ensures support
On Thursday, oil was narrowly mixed in Asia because market sentiment was backed regionally by China's official manufacturing PMI. However, the market is currently powered by the stoppages as well as damaged provoked by Hurricane Harvey along the American Gulf Coast.
October delivery crude futures declined 0.02% in New York being worth $45.95 a barrel. Meanwhile, in London Brent crude futures soared 0.08% trading at $50.77 a barrel.
In Japan, July’s provisional industrial output data went down 0.8%, which is more than a 0.5% sag expected.
In China, the official manufacturing Purchasing Managers' Index in China hit 51.7 in August, surpassing hopes, as data issued on Thursday disclosed.
Experts surveyed by Reuters expected China to report August’s official PMI of 51.3, which is a bit down from July’s outcome of 51.4. An outcome above 50 stands for expansion. On the contrary, a reading below indicates contraction.
The US dollar’s weakness offered a boost to emerging-market currencies and oil.