Commodities and Futures News

Oil prices fall on weak economic data, interest rate worry

2023.08.23 23:11


© Reuters. An aerial view shows tugboats helping a crude oil tanker to berth at an oil terminal, off Waidiao Island in Zhoushan, Zhejiang province, China July 18, 2022. cnsphoto via REUTERS /file photo

By Laura Sanicola

(Reuters) – Oil prices slipped in early Asian trade on Thursday as weak manufacturing data in major economies outweighed optimism around a larger-than-expected drop in stocks.

Markets are also looking for hints on the outlook for how long interest rates will remain at current levels ahead of a speech by Federal Reserve Chair Jerome Powell at a central bank symposium in Jackson Hole, Wyoming, starting on Thursday.

fell 27 cents, or 0.3%, to $82.94 a barrel by 0002 GMT, while U.S. West Texas Intermediate crude dropped 31 cents, or 0.4%, to $78.58. a barrel.

Manufacturing data from a host of purchasing managers’ index (PMI) surveys on Wednesday painted a grim picture of the health of economies across the globe, raising demand concerns.

Japan reported shrinking factory activity for a third straight month in August. Euro zone business activity also declined more than expected, particularly in Germany. Britain’s economy looked set to shrink in the current quarter, in danger of falling into recession.

U.S. business activity approached the stagnation point in August, with growth at its weakest since February.

Meanwhile, Federal Reserve officials and policymakers from the European Central Bank, the Bank of England and the Bank of Japan head to Jackson Hole where higher-for-longer interest rate talk may dominate despite a dip in inflationary pressures.

On the supply side, Iran’s crude oil output will reach 3.4 million barrels per day (bpd) by the end of September, the country’s oil minister was quoted as saying by state media, even though U.S. sanctions remain in place.

U.S. officials are also drafting a proposal that would ease sanctions on Venezuela’s oil sector, allowing more companies and countries to import its crude oil, if the South American nation moves toward a free and fair presidential election, according to five people with knowledge of the plans.

U.S. crude inventories fell by 6.1 million barrels in the week to Aug. 18 to 433.5 million barrels, compared with analysts’ expectations in a Reuters poll for a 2.8 million-barrel drop.

Source link

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 76,792.57 1.05%
vested-xor
Vested XOR (VXOR) $ 3,405.08 99,999.99%
ethereum
Ethereum (ETH) $ 2,892.34 7.31%
tether
Tether (USDT) $ 1.00 0.23%
solana
Solana (SOL) $ 197.53 4.90%
bnb
BNB (BNB) $ 600.58 1.92%
usd-coin
USDC (USDC) $ 1.00 0.18%
xrp
XRP (XRP) $ 0.557235 3.16%
dogecoin
Dogecoin (DOGE) $ 0.193767 1.45%
staked-ether
Lido Staked Ether (STETH) $ 2,892.26 7.37%
cardano
Cardano (ADA) $ 0.397095 10.52%
tron
TRON (TRX) $ 0.160882 1.77%
the-open-network
Toncoin (TON) $ 4.94 4.27%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,417.93 7.20%
avalanche-2
Avalanche (AVAX) $ 27.68 4.05%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 76,570.52 1.14%
shiba-inu
Shiba Inu (SHIB) $ 0.000019 0.83%
weth
WETH (WETH) $ 2,890.39 7.19%
chainlink
Chainlink (LINK) $ 12.64 5.31%
bitcoin-cash
Bitcoin Cash (BCH) $ 384.13 2.68%
sui
Sui (SUI) $ 2.34 2.12%
polkadot
Polkadot (DOT) $ 4.16 1.35%
leo-token
LEO Token (LEO) $ 6.26 0.06%
usds
USDS (USDS) $ 1.00 0.27%
uniswap
Uniswap (UNI) $ 9.07 2.90%
litecoin
Litecoin (LTC) $ 72.18 2.95%
wrapped-eeth
Wrapped eETH (WEETH) $ 3,038.67 7.24%
near
NEAR Protocol (NEAR) $ 4.24 1.27%
aptos
Aptos (APT) $ 9.78 4.21%
pepe
Pepe (PEPE) $ 0.000011 11.48%
bittensor
Bittensor (TAO) $ 513.24 1.48%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 1.42 0.10%
internet-computer
Internet Computer (ICP) $ 7.78 0.27%
dai
Dai (DAI) $ 1.00 0.09%
monero
Monero (XMR) $ 168.10 2.68%
stellar
Stellar (XLM) $ 0.101898 5.40%
ethereum-classic
Ethereum Classic (ETC) $ 20.15 4.46%
kaspa
Kaspa (KAS) $ 0.117378 1.47%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.12%
whitebit
WhiteBIT Coin (WBT) $ 19.52 0.97%
aave
Aave (AAVE) $ 185.79 9.08%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.346319 4.72%
blockstack
Stacks (STX) $ 1.69 1.26%
crypto-com-chain
Cronos (CRO) $ 0.092382 8.80%
okb
OKB (OKB) $ 40.39 3.12%
dogwifcoin
dogwifhat (WIF) $ 2.39 0.36%
first-digital-usd
First Digital USD (FDUSD) $ 1.00 0.17%
mantle
Mantle (MNT) $ 0.696342 17.34%
arbitrum
Arbitrum (ARB) $ 0.583667 8.57%
filecoin
Filecoin (FIL) $ 3.78 3.12%