The ECB cut its benchmark interest rate by 25 basis points to 4.25% from 4.5% at its meeting last Thursday, June 6, this is the first cut since 2019.
ECB President Christine Lagarde said the decision to cut the ECB's three key interest rates by 25 basis points was based on the latest assessment of the inflation outlook. After the ECB cut-rate, yesterday oil prices continued to rise and reached a high of 75.54 as before the price of WTI oil fell to a low level of 72.42 on June 4.
On the other hand, the level of expectation that the Fed will cut interest rates in September is also getting higher. Lower interest rates could trigger oil demand again. According to CME's TheFedWatch, the probability level of the Fed reducing interest rates in September reached 69%.
Meanwhile, Saudi Energy Minister Prince Abdulaziz bin Salman reiterated that the OPEC deal on Sunday, like other OPEC+ deals, maintains the option to pause or reverse production changes if necessary.
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ECB President Christine Lagarde said the decision to cut the ECB's three key interest rates by 25 basis points was based on the latest assessment of the inflation outlook. After the ECB cut-rate, yesterday oil prices continued to rise and reached a high of 75.54 as before the price of WTI oil fell to a low level of 72.42 on June 4.
On the other hand, the level of expectation that the Fed will cut interest rates in September is also getting higher. Lower interest rates could trigger oil demand again. According to CME's TheFedWatch, the probability level of the Fed reducing interest rates in September reached 69%.
Meanwhile, Saudi Energy Minister Prince Abdulaziz bin Salman reiterated that the OPEC deal on Sunday, like other OPEC+ deals, maintains the option to pause or reverse production changes if necessary.
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