Oil Falls on Demand Concerns And Oversupply
Alfonso Esparza | Sep 13, 2019 10:48
Oil slipped to around $60 a barrel on Friday as concern about a slowdown in the global economy and oil demand outweighed hints of progress in the U.S.-China trade dispute.
The Organization of the Petroleum Exporting Countries (OPEC) and the International Energy Agency (IEA) both issued reports this week pointing to an oil surplus next year, despite an OPEC-led pact to cut supply that runs until March.
“Oil prices have been slipping in recent days even as stock markets have rallied and inventory data has reported large drawdowns,” said Craig Erlam of OANDA. “The IEA and others continue to downgrade forecasts for demand as global economic growth fears mount.”
Benchmark Brent crude was down 25 cents at $60.13 a barrel by 0830 GMT, while U.S. West Texas Intermediate was up 5 cents at $55.14.
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