DayFR Euro

influence of U.S. monetary decisions and economic growth

Oil prices fell on Monday, reflecting continued uncertainty around the US Federal Reserve’s (Fed) economic guidance for 2025. Macroeconomic data highlights a slowdown in economic growth in the United States.

The Brent index, an international benchmark, fell 0.2%, settling at $73.92 a barrel, down from $74.06 at the last close. US West Texas Intermediate (WTI) also fell 0.2% to $70.49 per barrel.

Market participants are carefully observing the Fed’s monetary decisions and awaiting statements from Chairman Jerome Powell. These statements are crucial for anticipating future monetary policy decisions. Current uncertainties are leading to increased volatility in the markets, influencing crude prices.

The Fed is expected to lower interest rates by 25 basis points this week. Furthermore, US economic data showed signs of slowing growth, weighing on oil prices. A surge in jobless claims, reaching 242,000 for the week ended Dec. 7, is fueling concerns about demand.

Despite this, Donald Trump’s administration is considering policy measures, such as tax cuts and tariff adjustments. These initiatives could stimulate the economy and temper the decline in oil prices.

In addition, the prospect of an imminent announcement of a recovery plan by China, the world’s main oil importer, could promote an economic recovery and a rise in prices, thanks to increased demand.


Belgium

-

Related News :