(New York) Oil prices ended up on Monday at the end of a very volatile session, punctuated by announcements relating to the situation in Gaza and a possible ceasefire.
The price of a barrel of Brent from the North Sea for delivery in July appreciated by 0.44%, to close at $83.33.
As for a barrel of American West Texas Intermediate (WTI), due in June, it gained 0.47%, to $78.48.
Black gold has finally managed to post a slight rebound, after hitting its lowest level since mid-March on Friday.
Prices rose at the start of the session, supported by Israel’s launch of an evacuation operation from the east of the town of Rafah, in the south of the Gaza Strip, before a possible offensive. land against the Palestinian Islamist movement Hamas.
This initiative came the day after the death of four Israeli soldiers, killed by rocket fire fired by the armed wing of Hamas around the main crossing point for humanitarian aid from Israel to Gaza.
But the momentum abruptly evaporated with the announcement of Hamas’ acceptance of the ceasefire proposal as part of mediation involving Egypt, Qatar and the United States, even though a round of indirect negotiations ended on Sunday in Cairo without any progress.
“This has put oil under pressure,” commented Robert Yawger of Mizuho.
Crude prices even briefly went negative, before recovering somewhat.
An Israeli official said Israel was “examining” the ceasefire proposal accepted by Hamas.
Robert Yawger of Mizuho believes that there is little chance that “anyone will take (Hamas’) announcement at face value, knowing that they were recently saying that they would only accept an Israeli withdrawal from Gaza.” .
However, Israeli Prime Minister Benjamin “Netanyahu said they would not leave Gaza,” recalled Robert Yawger.
For the analyst, apart from the geopolitical context, black gold remains fragile and would struggle with a further increase in American stocks of crude oil and gasoline in the weekly report which will be published Wednesday by the American Information Agency on the energy (EIA).