WTI oil price rebounds near $75 on weaker US dollar

WTI oil prices are trading up near the $75 mark on Thursday as a weaker US dollar bolstered all dollar denominated commodities including crude oil prices.

US Light crude oil futures are trading up 22 cents at $ 74.60 per barrel, midday Singapore time on the NYMEX.

The only major currency not to see such a significant rally against the US dollar was the UK pound. GBP faced a tough session mainly because of rating company Fitch Ratings, which warned during the trading session that the UK’s fiscal challenges are significant.

Meanwhile, oil prices were also boosted by anticipation of rising fuel demand just prior to release of US weekly crude inventory data, which has been fuelled by initial inventory data from the American Petroleum Institute indicating further substantial drops in US crude oil stocks last week.