Oil stabilizes today after suffering its worst daily loss in 17 months.

Crude oil prices recovered and stabilized during trading on Tuesday, putting an end to the losses of the previous day, which resulted in the worst daily loss since May 2, 2023. Developments in demand have boosted investor sentiment once again.

In this regard, the United States announced plans to purchase oil to bolster the strategic reserve, which enhanced market optimism regarding U.S. demand – the world's largest consumer and the second-largest crude importer – for crude oil amid currently weak demand prospects.

Additionally, crude oil prices received strong support after news reports indicated that China – the world's largest crude oil importer – is considering a new financial package worth over 10 trillion yen next week to support economic conditions.

The financial package is expected to be further strengthened if Donald Trump wins the U.S. presidential elections, which has raised optimism in energy markets about the recovery of economic activity in China and its impact on future oil demand, ultimately leading to an increase in oil prices.

Current crude oil movements

Looking at today's market trading, the spot prices of Brent crude contracts are up by about 0.44% to $71.69 per barrel, while the spot prices of West Texas Intermediate crude contracts have risen by approximately 0.27% to $68.55 per barrel.