Last week, U.S. oil fell below the $80 mark to close at 77.$9,240, down more than 5%。

Some analysis shows that the stimulus of OPEC + unexpected production cuts to crude oil prices has been gradually digested, replaced by the Fed's policy of raising interest rates and concerns about the global economic outlook and energy demand.。

On the one hand, before the silence period, Fed officials had largely acquiesced in another rate hike in May, but still had reservations about the future direction, and the market was concerned that rising interest rates could hit the economy.。On the other hand, the current U.S. debt crisis and banking crisis has not yet dissipated, the credit crunch has cooled the economy relatively, the market remains cautious about future energy demand, wary of recession risks, dragging down oil prices.。

CMC market analyst Tina Teng said that with the release of U.S. economic data and weaker-than-expected earnings of U.S. technology companies, growth concerns and risk aversion are growing.。In addition, a solid dollar and rising U.S. bond yields have hit oil prices。

Nevertheless, analysts and traders remain bullish on the outlook for the oil market and emphasize that supply and demand conditions in the crude oil market will improve as analysts express optimism about the prospects for China's fuel demand recovery in the second half of 2023, overlaid with OPEC + production cuts gradually showing effect.。

In response, National Australia Bank analysts said that China's oil demand may offset the impact of the OECD demand slowdown in the short term, but need to pay attention to economic sanctions and supply constraints on the upside risks to oil prices.。Analysts also said they were bullish on Brent crude reaching $92 at the end of the second quarter.。

Energy services company Baker Hughes said U.S. energy companies finally added oil and gas rigs last week, the first increase in nearly a month.。

As of press time, U.S. oil fell 1 in the day..01%, reported 77.1370 USD。