The Stimulus Rally In Oil Isn’t Over Yet

U.S. West Texas Intermediate crude oil futures are trading slightly lower on Friday, but still holding on to its weekly gains. The price action is being manipulated by escalating tensions between the United States and China against a backdrop of rising coronavirus cases, which could be dragging down fuel demand. At times this week, the market also reacted to the extremely weak U.S. Dollar, which made the dollar-denominated asset more attractive to foreign buyers. The market took on a bullish tone early in the week when the European Union announced…