© Reuters. An oil pump in the US state of Texas in a photo from the Reuters archive.
(Reuters) – It recorded a slight decline in early Asian trading on Friday, as optimism about the possibility of avoiding a US default on its obligations was offset by high inflation data that may warn central banks around the world to raise interest rates.
Oil futures for two years fell to 75.84 a barrel by 0015 GMT. US West Texas Intermediate crude also fell 10 cents, or 0.043 percent, to $71.76.
US President Joe Biden and House Speaker Kevin McCarthy earlier this week reaffirmed their intention to reach an agreement soon to raise the $31.4 trillion federal debt ceiling, and agreed to hold talks by Sunday.
Among the factors weighing on the markets is the continued high inflation data and hawkish comments from central banks around the world.
Government data on Friday showed that core consumer prices in Japan rose 3.4 percent in April on an annual basis.
It also appears that inflation in the United States is not declining fast enough to allow the Federal Reserve (the US central bank) to halt its moves to raise interest rates, according to two federal policymakers.
(Prepared by Marwa Gharib for the Arabic Bulletin)
