WTI Price Analysis: Extends recovery above $81.00 as recession worries fuel odds for steady Fed policy

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• The oil price has stretched its recovery above $81.70 as the Fed is expected to adopt a neutral stance ahead.
• Accelerating fears of a recession in the US have stemmed the need of pausing the rate-hiking spell sooner.
• The oil price is expected to remain volatile ahead of the release of the weekly inventory data by the US EIA.

West Texas Intermediate (WTI), futures on NYMEX, have stretched their recovery to near $81.00 in the Asian session. The oil price is expected to recapture a two-month high of $81.74 as the cooling United States economy due to contracting manufacturing activities and a slowdown in job openings have triggered the requirement of an early pause in the policy-tightening spell by the Federal Reserve (Fed).