Oil prices closed slightly higher as recession concerns came with the prospect of higher US summer fuel demand and plans to reopen Shanghai after a two-month Covid-19 lockdown. 19.
West Texas Intermediate (WTI) crude rose just 1 cent, or 0.01%, to $110.29 a barrel, while Brent crude futures gained 87 cents, or 0.7%, to $113.42.
The Mexican export mix gained 0.30%, or 32 cents, at $108.18 a barrel.
Multiple threats to the global economy topped the concerns of the world’s wealthy at the annual economic summit in Davos, with some pointing to the risk of a global recession.
International Monetary Fund Managing Director Kristalina Georgieva said she did not expect a recession for major economies but could not rule it out.
But the market was supported by expectations that gasoline demand would remain high. The United States is headed into its peak vehicle travel season beginning Memorial Day weekend at the end of this week.
Analysts say that despite fears that rising fuel prices could dampen demand, mobility data from TomTom and Google had risen in recent weeks, showing more people were on the roads in the United States. In addition, Shanghai, the commercial center of China, aims to normalize life from June 1 as the coronavirus subsides.