Oil prices fall on concerns of global economy

Oil prices fall on concerns of global economy

Due to concerns about the global economy, oil prices fall and Brent Crude declined by 0.2%.

Oil prices fell on Monday on continuing concerns about the global economic outlook and their impact on oil demand.

Brent crude futures fell 10 cents, or 0.2%, to $59.32 a barrel, while US crude futures fell 9 cents, or 0.2%, to $53.69 a barrel, according to Reuters.

In the same context, Russia said the oil it produced last September was more than stipulated in a global agreement due to an increase in gas condensate production as the country prepares for the winter season.

OPEC, Russia and other producers (OPEC+) agreed in December 2018, to reduce production by 1.2 million bpd from the beginning of 2019.

On the other hand, China’s economic growth slowed to 6% year-on-year in the third quarter of this year, the weakest growth in twenty-seven and a half years, which is below expectations.

The slowdown in the Chinese economy was a result of falling factory production and continuing trade tensions. However, refinery production in China increased by 9.4% year-on-year in September, indicating that demand for oil from its largest importer in the world remains strong.