China's Economic Support and Tropical Storm Drive Oil Prices Higher

Oil prices rose as China implemented measures to support its economy, including halving stamp duty on stock trading. Investors remain concerned about the pace of economic growth and potential U.S. interest rate hikes that could dampen demand. The market is also monitoring Tropical Storm Idalia, which could impact oil and gas output in the U.S. Gulf. Brent crude broke above $85 a barrel, while U.S. West Texas Intermediate crude gained, despite the recent losses caused by Federal Reserve Chair Jerome Powell's comments on potential rate hikes. Oil prices have been supported by falling inventories and supply cuts from the OPEC+ group, with Saudi Arabia expected to extend its voluntary output cut.