Oil is recovered as optimistic Chinese manufacturing data increases some optimism

By Florence Tan

SENGAFARA (Reuters) – Oil prices increased by 1 % on Monday as optimistic manufacturing data from China, the largest crude importer in the world, which led to the renewal of optimism for fuel demand, despite the uncertainty about global economic growth from potential US tariffs.

Brent crude rose 76 cents, or 1 %, to $ 73.57 a barrel by 0206 GMT while crude was in West Texas Intermediate at $ 70.51 a barrel, or 75 cents, or 1.1 %.

Prices after official data gained on Saturday, which showed that the manufacturing activity in China was rapidly expanded in three months in February, where new orders and sizes of buying higher led to a significant increase in production. Investors are looking for the annual meeting of the Chinese parliament from March 5 to obtain more measures to support its multiplied economy.

“The China NBs PMI has returned to expansion lands during the weekend.”

However, it has warned that the country’s economic expectations may not be inspiring with another round of definitions on exports to the United States, which will start on March 4.

Goldman Sachs analysts were somewhat more positive about data, saying that he suggested that he be stable to a little better economic activity in China in early 2025, although the imposition of an additional US tariff by 10 % may lead to retaliatory measures.

Last month, Brent and WTI recorded the first monthly decrease within three months, as the threat of definitions from the United States and its commercial partners shook investor confidence in global economic growth this year and reduced their appetite for the most dangerous assets.

The comprehensive feelings improved after the Sunday summit, when European leaders made a strong offer to support Ukrainian President Voludmir Zelinsky and promised to do more to help his nation, just two days after his clash with US President Donald Trump and his visit to Washington.

Zelinski said on Sunday he believed he could save his relationship with Trump, but the talks needed to continue behind the closed doors. He added that he remained ready to sign a metal deal with the United States, and believes that the United States will be ready as well.

The ongoing attacks in Russian refineries raised concerns about the exports of its refined products with another factory in the Russian city of UFA.

Over the course of 2025, analysts maintain their oil prices largely, with average average Brent average $ 74.63 a barrel, because they expect any impact from the imposition of other US sanctions on an abundant budget and a possible peace agreement between Russia and Ukraine.

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