Washington: Oil prices rose on Wednesday on expectations for higher demand as the US dollar weakened and a report showed US crude and gasoline inventories fell while the release of inflation data may point to a more supportive economic outlook.

Brent crude futures were up 50 cents, or 0.6 percent at $82.88 a barrel. US West Texas Intermediate crude futures (WTI) rose 52 cents, or 0.7 percent, to $78.54 a barrel.

US crude oil inventories fell 3.104 million barrels in the week ended May 10, according to market sources citing American Petroleum Institute's figures on Tuesday. Gasoline inventories fell by 1.269 million barrels, and distillates rose by 673,000 barrels.

US government inventory data is due later on Wednesday and are likely to also show a drop in crude stockpiles as refineries increase their runs meet increased fuel demand heading into the peak summer driving season.

“Expectations of another drawdown in US oil inventories should support oil prices,” ANZ Research said in a note.

US Consumer Price Index (CPI) data is also due on Wednesday and should give a clearer indication whether the Federal Reserve may cut interest rates later this year, which could spur the economy and boost fuel demand.

Oil prices also found support from a softer US dollar and stimulus measures from China, said independent market analyst Tina Teng, with a weaker greenback making dollar-denominated oil cheaper for investors holding other currencies.

Teng was referring to China's plans to raise one trillion yuan in long-term special treasury bonds this week to raise funds to stimulate key sectors of its flagging economy, which is the world's largest oil importer.

“The US CPI and China's economic data are key to driving oil prices for the rest of the week,” she added. China will release economic activity data on Friday.

Prices were also supported by concerns around Canadian oil supply, a key exporter to the US.

A large wildfire is approaching Fort McMurray, the hub for Canada's oil sands industry that produces 3.3 million barrels per day of crude, or two-thirds of the country's total output.

SOURCE: REUTERS

Cairo: Israeli tanks pushed deeper into Rafah on Tuesday, reaching some residential areas of the southern Gazan border city where more than a million people had sought shelter, and its forces pounded the enclave's north in some of the fiercest attacks in months.

Israel's international allies and aid groups have repeatedly warned against a ground incursion into Rafah, where many Palestinians fled and Israel says four Hamas battalions are holed up. Israel says it must root out the remaining fighters.

The White House said US national security adviser Jake Sullivan will visit Israel and Saudi Arabia this weekend. The Biden administration declined to comment on a report by Axios that Israel agreed not to expand its Rafah operation significantly before Sullivan's visit.

A US official who declined to be identified told Reuters that Israel promised not to make a major move in Rafah without advising Washington.

Israeli spokesperson Rear Admiral Daniel Hagari said in a briefing that Israeli forces had killed about 100 militant fighters, located 10 tunnel routes and found many weapons in Rafah since the start of the operation a week ago.

Fighting has intensified elsewhere across the Gaza Strip in recent days, including in the north, with the Israeli military returning to areas where it had claimed to have already dismantled Hamas. The clashes on Tuesday were the fiercest in months, residents and militant sources said.

“We are operating with determination in all three parts of the Gaza Strip. Forces from the air, land and sea are simultaneously striking terrorist targets,” Hagari said, referring to the enclave's north, centre and south.

The Palestinian death toll in the war has now surpassed 35,000, according to Gaza health officials, whose figures do not differentiate between civilians and fighters. They said that 82 Palestinians had been killed in the past 24 hours, the highest death toll in a single day in many weeks.

Fierce gun battles raged late on Tuesday in northern Gaza's Jabalia, a sprawling refugee camp built for displaced Palestinians 75 years ago. “Many people are being trapped in their houses,” Nasser, 57, a father of six, said by phone.

Israel killed about 80 militant fighters and destroyed rocket launchers and weapons manufacturing facilities in the heart of Jabalia on Tuesday, Hagari said. He said 13 Israeli soldiers were injured on Tuesday, four seriously.

In Gaza City, also in the enclave's north, an Israeli air strike on a house in the Sheikh Radwan neighbourhood killed four people and wounded several others late on Tuesday, medics said.

In the Zeitoun neighbourhood of Gaza City, Israeli bulldozers demolished houses to make a new road for tanks. The Israeli military said it had eliminated about 150 fighters and destroyed 80 structures used by Hamas there.

With fighting intensifying, Qatar's Prime Minister Sheikh Mohammed bin Abdulrahman Al-Thani said ceasefire talks between Israel and Hamas, mediated by his country and Egypt, were at a stalemate.

US President Joe Biden has urged Israeli Prime Minister Benjamin Netanyahu not to invade Rafah without safeguards for civilians and last week delayed a shipment of large bombs to Israel.

The US State Department did, however, move a $1 billion package of weapons aid for Israel into the congressional review process, two US officials said on Tuesday.

UN Secretary-General Antonio Guterres condemned Israel's escalation in Rafah and Hamas' indiscriminate firing of rockets there, his spokesperson said on Tuesday.

“Civilians must be respected and protected at all times, in Rafah and elsewhere in Gaza. For people in Gaza, nowhere is safe now,” Stephane Dujarric said, adding that Guterres again called for an immediate humanitarian ceasefire.

In Rafah in southern Gaza, Palestinian residents saw smoke billowing above eastern districts of the city and heard explosions after Israel bombarded a cluster of houses.

Hamas' armed wing, the Qassam Brigades, said it destroyed an Israeli troop carrier in the eastern Al-Salam district, killing some crew members and wounding others.

Israel has ordered civilians to evacuate parts of Rafah, and UNRWA, the main United Nations aid agency in Gaza, estimates some 450,000 people have fled the city since May 6. More than a million civilians had sought refuge there.

They are moving to places such as Al-Mawasi, a sandy coastal strip that aid agencies say lacks sanitary and other facilities to host displaced people.

Much of Gaza's population is on the brink of famine, the UN says, and desperate for fuel and other essential supplies such as medicine. Relief organisations, the UN and major powers such as the US have urged Israel to facilitate a massive influx of aid.

Israeli Foreign Minister Israel Katz said on Tuesday that Egypt must be "persuaded" to reopen the Rafah border crossing to "allow the continued delivery of international humanitarian aid" into Gaza.

His comment prompted an angry response from Egypt's Foreign Minister Sameh Shoukry, who said in a statement that Israel's seizure of the Rafah crossing and its military operations in the area were the main obstacles to aid entering Gaza.

Israel told merchants in Gaza to retrieve commercial goods that had been stuck at the Kerem Shalom border crossing in Israel since Hamas' October 7 attack, residents and Palestinian media said.

Their trucks entered Rafah on Tuesday through a gate on the border line between Gaza and Egypt where Israeli tanks have been stationed, the first such supply during Israel’s Gaza ground offensive in eastern Rafah. Israel did not comment.

The World Court will hold hearings this week on a South African request for new emergency measures against Israel over the Rafah incursion. Israel, which has said South Africa's accusations of genocide are baseless, will present its view to the court on Friday.

Israel launched its Gaza operation after an attack on October 7 by Hamas-led gunmen who killed some 1,200 people and took more than 250 hostages, according to Israeli tallies.

SOURCE: REUTERS

Karachi: Pakistan Stock Market reached the highest level in the country's history as investors' confidence was restored.

On the third day of the business week, the 100 index crossed the 75,000 points mark in the Pakistan Stock Exchange (PSX).

The Pakistan Stock Market saw an increase of 516 points with the 100 index trading at a level of 75,475 points.

It is pertinent to note that yesterday was also a positive day of business in the PSX where the 100 index closed at 74,531 points with an increase of 732 points.

Yesterday, the deals of 570 million shares in the stock market were settled at 23.4 billion rupees, while the market capitalisation increased by 78 billion rupees to 10,037 billion rupees.

On the other hand, the KMI 30 index in the Pakistan Stock Exchange increased by 1,687 points during the business day and closed at 1,23,198 points at the close of business.