Pressure on the oil market reflects uncertainty regarding demand after the US Federal Reserve’s September meeting.
World oil prices are significantly decreasing before the publication of information on US reserves. This was confirmed by the trading data on Tuesday, September 26.
function news4626373() {
$.get(‘//’ + window.location.host + ‘/ajax/module.aspx?spm_id=444&id=4626373&lang=2&IsAjax=true’, function (data) { $(‘#nk4626373’).html(data); });
}
news4626373();
Thus, Brent oil futures for November fell in price on the London ICEFutures exchange by $1.41 (1.53%) to $90.47 per barrel. On Monday, Brent prices rose $0.02 to $93.29 a barrel.
In turn, November futures for WTI fell on the New York Mercantile Exchange NYMEX by $1.43 (1.59%) to $88.251 a barrel. According to the results of preliminary trading, the contract fell in price by $0.35 (0.39%) to $89.68 per barrel.
Pressure on the market is uncertainty over demand after the Federal Reserve meeting in September, which left its benchmark interest rate at its highest level in 22 years – 5.25-5.5% per annum – and indicated that it expects to raise it again this year.
Meanwhile, China’s oil demand rose 0.3 million barrels per day last week to 16.3 million bpd, driven in part by renewed demand for jet fuel for international travel. CityIndex senior financial markets analyst Fiona Cincotta told MarketWatch.
“Concerns about China’s economic recovery have subsided in recent weeks, although investors await Wednesday’s industrial earnings data, which could provide further insight into the health of China’s economy,” Cincotta said. .
The American Petroleum Institute (API) will publish data on the weekly dynamics of oil reserves in the country on Tuesday, and the Ministry of Energy will present official statistics on Wednesday. Traders on average expected a reduction in oil reserves during the week of 1.65 million barrels.
Earlier in September, Brent and WTI added about 4% amid fears of a drop in oil supply due to the continuation of voluntary production curbs by Saudi Arabia and Russia until the end of this year.
Therefore, the International Energy Agency (IEA) predicts a deficit in the oil market in the fourth quarter of this year.
New Correspondent.net on Telegram. Subscribe to our channel Athletistic
Source: korrespondent
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.