Baghdad Oil prices fell, today, Tuesday, after the rise in Covid-19 cases in China raised fears of a decrease in fuel consumption in the world’s largest crude oil importer, in addition to the reduction of the Organization of the Petroleum Exporting Countries (OPEC) to its forecast for global demand in 2022. .
Brent crude futures fell 27 cents, to 92.87 dollars a barrel by 07:16 Baghdad time, after falling 3% at the settlement on Monday.
US West Texas Intermediate crude futures fell 50 cents, to $85.37 a barrel, after falling 3.5 % in the previous session.
While investors welcomed China’s announcement last week that it would ease strict restrictions imposed to curb the spread of the coronavirus to stimulate economic activity and energy demand, analysts said shutdowns and an increase in COVID-19 infections remain a major downside risk.
Factory production growth in China slowed and retail and real estate sales fell further in October, the latest sign that the world’s second-largest economy is losing momentum as it struggles with prolonged Covid-19 restrictions.
(OPEC) lowered its forecast for the growth of global demand for oil in 2022 for the fifth time since April, citing growing economic challenges, including rising inflation and interest rates.
The embargo imposed by the European Union on Russian oil, in response to Russia’s war against Ukraine, is scheduled to start on the fifth of next December. After the embargo, the European Union will stop imports of Russian oil products in February.
Source: National Iraqi News Agency