Oil prices fell on Monday on expectations that U.S. production could increase and as weaker economic data from China and the country’s growing Covid restrictions weighed on demand.
Brent futures fell 94 cents, or 0.98%, to $94.83 a barrel. US crude (WTI) fell $1.37 to $86.53 a barrel, a loss of 1.6%.
Despite the decline in the session, both benchmarks posted their first monthly gains since May.
US oil production rose to nearly 12 million barrels a day in August, the highest since the start of the Covid pandemic, monthly government data showed.
US President Joe Biden is expected to urge oil and gas companies to invest some of their record profits in cutting costs for American families, a White House official said.
Meanwhile, factory activity in China, the world’s biggest oil importer, unexpectedly fell in October, an official survey showed on Monday, pressured by waning global demand and tight Covid restrictions that have hit output.
Chinese cities are tightening COVID-zero restrictions as outbreaks mount, dampening hopes of a pick-up in demand.
Source: CNN Brasil
Joe Jameson, a technology journalist with over 2 years of experience, writes for top online news websites. Specializing in the field of technology, Joe provides insights into the latest advancements in the industry. Currently, he contributes to covering the world stock market.
