OF: Brent crude price rises as Germany boosts oil demand outlook
Brent crude has risen, backed by strong economic data from Germany and lifted the outlook for oil demand.
The increase is expected to be enough to help Brent, as well as crude futures in the US post a weekly gain of over 3%, and also comes as worries grow over a quick return of Iranian supplies into the market.
May Brent crude increased 21 cents to $56.78 a barrel, while US crude for May declined 6 cents at $50.73, Reuters reported.
CMC Markets in Sydney chief strategist Michael McCarthy was reported by the news agency as saying that the reaction was severe for one session.
Europe's largest economy improved in February, according to German industrial output and trade data, following which global stock markets increased.
US jobless claims data also indicated a stronger labour market in the country.
Iranian Supreme Leader Ayatollah Ali Khamenei demanded to remove all sanctions on Iran on the same day as any final agreement, while the US said that it will lift the sanctions slowly.
Despite the uncertainty, crude exports in Yemen are expected to more than double in April from March as it diverts crude from its Aden refinery in the middle of a bad security situation.
