Monday’s Market Update I 01-July-2024

Oil prices climbed on Monday, supported by forecasts of a supply deficit stemming from peak summer fuel consumption and OPEC+ cuts in the third quarter, although global economic headwinds and rising non-OPEC+ output capped gains.

Both contracts gained around 6% in June, with Brent settling above $85 a barrel in the past two weeks after OPEC+ extended most of its deep oil output cuts well into 2025

Over In the European market, the euro rose on Monday following the first round of France’s snap election, which saw the far-right taking the lead, albeit by a smaller margin than expected. This, coupled with a downgrade to Japan’s first-quarter growth figures, pushed the yen lower.

The euro, which has fallen about 0.8% since President Emmanuel Macron called the election on June 9, was last 0.24% higher at $1.0737, after touching a more than one-week high of $1.0749 earlier in the session.