Demand concerns drag crude prices down

Crude oil prices slumped on Tuesday, pressured by the downward revision in the IMF global growth forecast (see macro comment) which fueled concerns over energy demand prospects in the short-term. Benchmark contracts traded once again in a large range, showing that uncertainty over the supply/demand outlook remains high and fuels volatility. Brent 1st nearby prices traded as low as $106.74/b down from an intraday high at $114.84/b on Monday, while WTI prices dropped as low as $102.10/b intraday.

In the US, API stock figures released yesterday evening showed a 4.5 Mb drawdown in crude inventories compared to a market consensus of a 3 Mb increase, which finally provided some support to crude oil prices this morning on top of reports of worsening production disruptions in Libya due to the lingering political turmoil.

Share this news :

You might also read :

ES-oil
March 12, 2021

Indian sales grow, but at a slower pace

Crude prices remained range-bound for the end of this week, at around 69.5 $/b as the dollar eased due to improving prospects for European economies.…
ES-gas
February 1, 2021

Lower prices in Europe and in Asia

Spot and near curve prices were down on Friday in most European gas markets as interests switched to the March contract, a period during which…
Join EnergyScan

Get more analysis and data with our Premium subscription

Ask for a free trial here

Don’t have an account yet? 

[booked-calendar]