WTI, Brent Prices Rebound

WTI, Brent Prices Rebound
WTI, Brent Prices Rebound

Oil prices rebounded early on Wednesday, recovering after two straight sessions of losses, as expectations of hawkish Federal Reserve talk later in day and possible US crude stock drawdowns outweighed China demand worries.
Brent futures firmed 23 cents to $76.13 a barrel and US West Texas Intermediate crude futures inched up 26 cents to $71.45 a barrel, reported.
"We expect Fed Chair Jerome Powell to deliver a hawkish semi-annual testimony to Congress reflecting the FOMC's median projection for higher interest rates in coming months and more resilient inflation in the near term," ANZ Research said in a note, referring to the central bank's Federal Open Market Committee.
The congressional testimony by Powell later on Wednesday is expected to provide clues on future rate moves in the world's biggest economy.
Two Fed policymakers and an economist nominated to join them on the central bank's Washington-based board on Tuesday said their focus was on bringing down too-high inflation so that the US economy could return to sustainable growth, which in turn could bolster oil demand.
A possible drawdown in US crude stocks supported prices as well, with Reuters poll among five analysts estimating that crude stockpiles fell by about 400,000 barrels on average in the week to June 16.

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