Crude Sharply Higher on Energy Demand Strength and Index Buying of Oil Futures

Group 1 - Crude oil and gasoline prices experienced a significant rally, with gasoline reaching a 1.5-week high and crude oil prices increasing by 3.16% on Thursday [2][1] - The rise in crude prices is attributed to better-than-expected US economic data indicating stronger energy demand and anticipated buying of oil contracts due to the annual rebalancing of commodity indexes, which is expected to bring in $2.2 billion in inflows [2][3] - Positive economic indicators include a year-over-year decrease in Challenger job cuts by 8.3% to 35,553, marking a 17-month low, and a rise in Q3 nonfarm productivity by 4.9%, close to expectations [4] Group 2 - The US Energy Department's announcement to selectively roll back sanctions on Venezuelan crude could potentially increase global oil supplies, putting downward pressure on crude prices [5] - Morgan Stanley has revised its crude price forecasts downward, predicting a Q1 price of $57.50 per barrel and a Q2 price of $55 per barrel, citing expectations of a growing global oil market surplus [6] - Crude oil stored on stationary tankers decreased by 3.4% week-over-week to 119.35 million barrels, indicating a potential tightening of supply [6]