Oil prices rose on Thursday as investors assessed China's economic recovery prospects following President Xi Jinping's commitment to growth-oriented policies.
By 2:25 pm AEDT (3:25 am GMT) Brent crude futures gained $0.33 or 0.4%, to US$74.97 per barrel, notching fresh five-week highs, while U.S. West Texas Intermediate (WTI) crude futures added $0.35 or 0.5%, to $72.07 a barrel.
In his New Year’s address, President Xi pledged more proactive measures to stimulate China’s economy in 2025 as the country braces for potential trade challenges from U.S. tariffs proposed by President-elect Donald Trump.
Among data releases, delayed weekly oil inventories from the Energy Information Administration (EIA) are expected later on Thursday due to the New Year holiday.
Meanwhile, Russia ceased gas exports via Soviet-era pipelines through Ukraine on New Year’s Day, a widely anticipated move. The disruption is not expected to impact E.U. consumer prices, as many buyers secured alternative supplies.
Hungary, however, will continue to receive Russian gas through the TurkStream pipeline under the Black Sea.