Oil Drops With Weak Chinese Demand Overshadowing Libya Outage

(Bloomberg) — Oil fell as Chinese demand concerns outweighed supply disruptions in Libya.

Most Read from Bloomberg

Global benchmark Brent dropped below $76 a barrel and West Texas Intermediate traded near $72. A further contraction in factory activity in China and a deepening property crisis are continuing to drag on the country’s economy, threatening growth targets.

Oil has wiped out almost all of this year’s gains during the past couple of months as economic concerns in key consumers — including China and the US — and ample supplies weigh on sentiment. The market is also bracing for the potential release of additional barrels from OPEC+.

A political crisis in OPEC member Libya, which has halved the country’s output, may give the alliance the space to move forward with a planned supply hike next quarter. The state oil firm this week declared force majeure at the key El-Feel field amid a widening shutdown of production.

“Oil-market concerns include the Chinese economy and oil demand, along with more oil from OPEC+ starting in October,” said Bjarne Schieldrop, chief commodities analyst at SEB AB.

The US, meanwhile, is laying the groundwork for new sanctions on Venezuelan government officials in response to Nicolás Maduro’s disputed reelection, according to documents seen by Bloomberg. The measures target key leaders that the US says collaborated with Maduro to undermine the July 28 vote.

To get Bloomberg’s Energy Daily newsletter in your inbox, click here.

Most Read from Bloomberg Businessweek

©2024 Bloomberg L.P.

  • Related Posts

    The next big AI trade could be nuclear power: Morning Brief

    This is The Takeaway from today's Morning Brief, which you can sign up to receive in your inbox every morning along with: The chart of the day What we're watching…

    SLB Warns Cautious Oil Explorers Have Slowed Growth in Spending

    (Bloomberg) — SLB, the world’s biggest oilfield services provider, warned that spending growth by oil explorers has waned in the past few months as customers take a cautious approach amid…

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    The next big AI trade could be nuclear power: Morning Brief

    • By admin
    • October 18, 2024
    • 1 views
    The next big AI trade could be nuclear power: Morning Brief

    SLB Warns Cautious Oil Explorers Have Slowed Growth in Spending

    • By admin
    • October 18, 2024
    • 1 views
    SLB Warns Cautious Oil Explorers Have Slowed Growth in Spending

    Netflix will ‘continue to evolve’ its pricing model but loves ‘the low price point’ of its $6.99 ads plan

    • By admin
    • October 18, 2024
    • 3 views
    Netflix will ‘continue to evolve’ its pricing model but loves ‘the low price point’ of its $6.99 ads plan

    Oil Edges Up With Focus on Middle East After Hamas Leader Death

    • By admin
    • October 18, 2024
    • 4 views
    Oil Edges Up With Focus on Middle East After Hamas Leader Death

    Whooping Cough Cases Spiking in US. Here’s How to Protect Yourself

    • By admin
    • October 18, 2024
    • 4 views
    Whooping Cough Cases Spiking in US. Here’s How to Protect Yourself

    How to Develop an Effective Cybersecurity Incident Response Plan for Businesses

    • By admin
    • October 18, 2024
    • 4 views
    How to Develop an Effective Cybersecurity Incident Response Plan for Businesses