Oil prices edge higher as IEA’s Birol talks up China demand outlook

Oil prices inched up in early trade on Monday after falling around eight per cent last week to more than three-week lows as jitters over major economies outweighed signs of a demand recovery in China, the world’s top oil importer. Brent crude futures crawled up 16 cents, or 0.2pc, to $80.10 a barrel at 0022 GMT, while US West Texas Intermediate (WTI) crude futures rose 15 cents, also 0.2pc higher, to $73.54 a barrel. Last Friday, WTI and Brent slid 3pc after strong US jobs data raised concerns that the Federal Reserve would keep raising interest rates, which in turn boosted the dollar. While recession fears dominated the market last week, on Sunday International Energy Agency (IEA) Executive Director Fatih Birol highlighted that China’s recovery remains a key driver for oil prices. The IEA expects half of global oil demand growth this year will come from China, where Birol said jet fuel demand was surging.