Oil prices are going up at the moment of writing, mainly due to the API report. At the beginning of the Asian session on Thursday, oil price growth was limited because of the weak Chinese business activity report.
The index of business activity in the manufacturing sector of China from Caixin fell in May to 49.6, the lowest level in 11 months, although it was expected that it would only drop to 50.1. A reading below 50 indicates a decrease in activity.
"China's manufacturing sector was under great pressure in May, as the economy has a clear downward trend," said the director of macroeconomic analysis at CEBM Group.
Demand fell in May, as new orders fell to 50.3, the lowest level in 11 months, after 51.0 in April. The growth in the number of new export orders also slowed significantly.
However, the American API report gave oil prices more reasons for a regional uptrend.
Oil reserves in the US declined last week, according to a report of the American Petroleum Institute (API) published on Wednesday.
According to API, oil reserves fell 8.7 million barrels to 513.2 million in the week ended May 26, while analysts predicted a 2.5 million barrel decrease.
The reserves at the distribution center in Cushing, Oklahoma, fell 753,000 barrels, the API data showed.
The report supported the oil price. On the New York Mercantile Exchange, WTI futures for July delivery rose 1.47 to $ 49.03 per barrel.
Brent crude futures for August delivery rose 1.26%, reaching $ 51.40 per barrel.
The USD index, showing the US dollar strength against the basket of six major currencies, rose 0.06% to $ 96.97.
As for other commodities, the price of gold futures fell during the Asian session. At the COMEX division of the New York Mercantile Exchange, gold futures for June delivery fell 0.47% to $ 1265.92 per troy ounce.
Silver futures for July delivery fell 0.78%, reaching $17.276 per troy ounce, while copper futures for July delivery fell 0.46% to reach the level of 2.574 dollars per pound.