Crude oil trades higher; Book profits in MCX crude, wait for correction near Rs 6000/bbl

Crude oil continues to trade at the higher end of the range thanks to lower than forecast US oil inventory and strong crude imports to China. Solid economic indicators, low unemployment, and lower inflation during the year since the Fed embarked on one of its most aggressive rate hike campaigns in history have boosted US oil consumption this year. Strong imports from China can be attributed to buying discount oil from Russia. China’s economic rebound since lifting COVID-19 restrictions has fallen short of expectations. Its oil imports increased by nearly half year on year in June, but at the same time stock levels rose to near an all-time high.