Your current location is:{Current column} >>Text

Oil prices edge down on easing geopolitical risks, weak China demand By Reuters

{Current column}45People have watched

IntroductionBy Arunima Kumar(Reuters) -Oil prices edged lower on Tuesday as Israel accepting a proposal to tackl ...

By Arunima Kumar

(Reuters) -Oil prices edged lower on Foreign exchange account bonus in 2022Tuesday as Israel accepting a proposal to tackle disagreements blocking a ceasefire deal in Gaza eased supply concerns and China's economic weakness weighed on the demand outlook.

Oil prices edge down on easing geopolitical risks, weak China demand By Reuters

was down 80 cents, or 1.03%, at $76.86 per barrel as of 0820 GMT. Front month U.S. West Texas Intermediate crude futures were down 87 cents, or 1.17%, to $73.50.

The more actively traded second month WTI contract was last down 80 cents or 1.09% at $72.86 a barrel.

"On the one hand the thinner liquidity in the oil market at present, on the other hand some of the comments from State Secretary Blinken on a possible Gaza ceasefire deal, triggering an unwinding of some oil price spike hedge positions," UBS analyst Giovanni Staunovo told Reuters.

U.S. Secretary of State Antony Blinken said on Monday that Israeli Prime Minister Benjamin Netanyahu had accepted a "bridging proposal" presented by Washington to tackle disagreements blocking a ceasefire deal in Gaza, and urged Hamas to do the same.

"A ceasefire deal in Gaza now seems more likely than not, which saw market participants pricing out the risks of geopolitical tensions on oil supplies disruption," said Yeap Jun Rong, market strategist at IG.

In China, worries about economic problems weighed on oil prices after a dismal second quarter.

The world's second-largest economy lost further momentum in July as new home prices fell at their fastest pace in nine years, industrial output slowed, export and investment growth dipped and unemployment rose.

On the supply side, production at Libya's Sharara oilfield has risen to about 85,000 barrels per day in a move aimed at supplying the Zawia oil refinery.

© Reuters. FILE PHOTO: An aerial view shows oil tanks of Transneft oil pipeline operator at the crude oil terminal Kozmino on the shore of Nakhodka Bay near the port city of Nakhodka, Russia June 13, 2022. Picture taken with a drone. REUTERS/Tatiana Meel/File Photo

Libya's National Oil Corporation (NOC) had declared force majeure on oil exports from the field on Aug. 7 after a blockade by protesters hit production at the 300,000-bpd field.

In the U.S., crude stockpiles were expected to have fallen by 2.9 million barrels last week, a preliminary Reuters poll showed on Monday.

Statement: The content of this article does not represent the views of FTI website. The content is for reference only and does not constitute investment suggestions. Investment is risky, so you should be careful in your choice! If it involves content, copyright and other issues, please contact us and we will make adjustments at the first time!

Tags:

Related articles