According to CNBC, the US Senate officially approved a new version of the North American Free Trade Agreement (NAFTA) on January 16. Earlier, on January 15, the US and China signed a first-phase trade agreement.

At closing time, price of Brent oil delivered in March in London market increased 0.62 USD / barrel, equivalent to an increase of 1%, closing at 64.62 USD / barrel. In New York market, WTI crude oil price delivered in February increased by 0.71 USD / barrel, equivalent to an increase of 1.2%, reaching 58.52 USD / barrel.

Earlier, up to Wednesday session, oil prices had 6 sessions in 7 sessions, down to the lowest level since early December.

The recently signed agreement between the United States and China stipulates that China buys an additional US $ 50 billion of US crude oil, liquefied gas and other energy products within two years. However, some analysts warn that China is unlikely to accomplish this goal and oil prices will fluctuate until more specific details of the plan are announced.

A source from the US oil trader said that if China really increased its purchasing of US energy products, the global oil trade flow would be more volatile. At that time, US crude oil could increase its market share in China, the world's largest oil importer, causing market share of other suppliers to decline.

The easing of US-Iran tensions and signs of oversupply of oil are the factors that have pressured oil prices down in recent sessions.

A weekly report from the US Energy Information Administration (EIA) on Wednesday showed that the country's gasoline inventories for the week ending January 10 rose 6.7 million barrels, inventories of distillates. Distillions increased by 8.2 million barrels, both of which were unexpected increases. However, crude oil inventories fell by 2.5 million barrels.

US oil production in the reporting week is estimated at 13 million barrels a day, an all-time high.

In its monthly report released on Thursday, the International Energy Agency (IEA) upheld the forecast for global oil demand growth in 2020.

The agency estimates that the world's oil demand in 2019 will increase by 1 million barrels a day compared to 2018, reaching 100.3 million barrels a day. By 2020, the IEA forecasts that world oil demand will increase by 1.2 million barrels a day to 101.5 million barrels a day.

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