PT Solid Gold Berjangka | WTI Crude Oil Falls as China Declining to Add Further Stimulus Tops Middle East Worries
OIL SOLID GOLD BERJANGKA, SG BERJANGKA , SOLID GROUP, PT SGB , SGB
Solid Gold Berjangka | West Texas Intermediate (WTI) crude oil closed sharply lower on Tuesday, falling for the first time in six sessions as China avoiding new stimulus measures to revive a flagging economy rose above worries over a spreading Middle Eastern war.
WTI crude for November delivery closed down US$3.57 to settle at US$73.57 per barrel, while December Brent crude, the global benchmark, was last seen down US$3.82 to US$77.11.
Oil gained 13% in the five sessions after Iran’s attack as traders worried Israel response would hit at Iran’s oil infrastructure, potentially cutting into the country’s 1.7-million barrels per day of exports. Fears that a wider war in the oil-rich Persian Gulf is on the horizon and could threaten nearly a third of global oil output. However the risk premium may be fading given the delay in Israel’s response.
Oil’s fundamentals remain weak as demand remains light during the autumn shoulder season even as OPEC+ begins adding 180,000 bpd of supply monthly for a year beginning in December to unwind 2.2-million bpd of production cuts.
Demand from China, the No.1 importer, remains light as the country’s economy struggles with a debt crisis in its real-estate sector, weak consumer spending and high youth unemployment. Bloomberg News on Tuesday reported that China’s economic planning agency said it is confident it can meet its goal of 5% growth in its gross domestic product this year. It declined to offer further stimulus measures even as major investment banks press for up to three-trillion yuan of additional spending.
Source : MT Newswires