Oil prices spin three sessions down due to fears about demand

Los oil prices They registered their third consecutive fall at the close on Wednesday, on fears that inflation will affect global demand for crude oil.

The price of a barrel North Sea Brent for December delivery thus closed down 1.91% at $92.45 in London.

While the barrel of West Texas Intermediate (WTI) for November delivery lost 2.32% to $87.27 in New York.

Prices opened positive, before a US indicator reversed the trend.

Related Post

Oil Price Nears a Slide of 20% From High. Why It Keeps Falling.

June 23, 2023

Oil prices fall 2% due to weak economic data from China and the US

May 11, 2023

Oil prices extend losses due to fears of recession; Brent drops 2 dollars

April 20, 2023

Oil falls more than 1% due to fear of recession in the US and expectations of lower demand

April 13, 2023

Wholesale prices rose 0.4% in September from August in the United States, well above the 0.2% expected by economists.

This only strengthens the Fed (Federal Reserve) in its position to raise its (reference interest) rates by 1.25 percentage points between now and the end of the year”, pointed out economists at Oxford Economics.

That prospect raises fears about the trajectory of the US economy and also the rest of the world.

Central bankers “insist that they will remain aggressive, which will reduce demand for crude oil to make fuel,” said Mizuho’s Robert Yawger.

“Everything is linked to fears of recession,” according to the analyst, who predicts that if the CPI consumer price index in the United States, which will be released on Thursday, is higher than expected, “the same thing could happen (with prices ), with an exclamation mark.

For Sophie Lund-Yates, from Hargreaves Lansdown, the downward revision of the International Monetary Fund’s global growth estimate for 2023 (FMI), from 2.9% to 2.7%, “injected fear into the oil market, since a recession would cause a reduction in demand for black gold.”

kg