Oil rises moderately on demand expectations and reports on US national debt

World oil prices rose moderately on Tuesday morning, as evidenced by the auction data, according to Report.

Traders are evaluating the outlook for seasonal demand and OPEC+'s efforts to cut production, also keeping an eye on the news on the US debt ceiling.

The price of July futures for Brent crude rose by 0.16% to $76.11 per barrel, and July futures for WTI increased by 0.21% to $72.2.

Markets are assessing the outlook for the summer season, when demand for gasoline traditionally rises due to car travel.

At the same time, traders continue to evaluate the efforts of OPEC + to reduce production. Earlier in May, Deputy Prime Minister of the Russian Federation Alexander Novak said that Russia had reached the promised volume of oil production cuts of 500,000 barrels per day since May. Also a day earlier, OPEC Secretary General Haytham al-Ghais noted that the global oil sector needed more than $12 trillion in investment by 2045.

Traders continue to follow the news from the US, where discussions focus on raising the debt ceiling. Speaker of the House of Representatives Kevin McCarthy said after a meeting with President Joe Biden that he was confident about the success of negotiations on the national debt ceiling, and Biden himself called the meeting with McCarthy on the national debt productive. At the same time, McCarthy noted that Biden's inaction could lead to a US default.

Global risks could weigh on the economic outlook, negatively impacting oil demand forecasts.