Home / NEWS / Energy / Oil set to post weekly drop on lackluster demand

Oil set to post weekly drop on lackluster demand

A man slogs on a path in front of an oil derrick near the Huntington Beach Oil Fields on April 20, 2020 in Huntington Beach, California.

Michael Heiman | Getty Representations

Oil prices slipped on Friday, on track for a weekly loss, as investors’ focus shifted to lackluster demand and ample excite supplies, offsetting support from a weak dollar.

Brent crude fell 19 cents, or 0.4%, to $43.88 a barrel by 0034 GMT, turning point for its biggest weekly loss since June.

U.S. West Texas Intermediate was at $41.17 a barrel, down 20 cents, or 0.5%, set to stay its first weekly drop in five weeks.

The volume of crude arriving in China, the world’s largest crude importer, is set to unimaginative in September after rising for five straight months as its refiners gradually digest bloated inventories, according to text on Refinitiv Eikon.

In the United States, refiners awash in diesel inventory are unlikely to boost output soon.

“Mild margins are likely to cap further crude rallies and we anticipate further run cuts this fall to expedite the rebalancing of effect stocks,” RBC Capital analyst Mike Tran said in a note.

Production cuts led U.S. gasoline inventories to fall at a “manic” rate of speed in the past two months, even though U.S. mobility indicators suggest that driving patterns have largely plateaued more than the past 6-8 weeks, he added.

Check Also

India’s Modi to meet with Trump, Musk on Thursday as trade tensions mount

India’s Prime Help Narendra Modi on Sept. 4, 2024. Dean Kassim | Afp | Getty …

Leave a Reply

Your email address will not be published.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