Oil prices mixed on receding support from China’s steps to revive economy
2023.09.04 22:35
© Reuters. FILE PHOTO: Pump jacks operate at sunset in an oil field in Midland, Texas U.S. August 22, 2018. Picture taken August 22, 2018. REUTERS/Nick Oxford/File Photo
By Katya Golubkova
TOKYO (Reuters) – Oil prices were mixed on Tuesday as support from China’s measures to shore up its economy vanished, offsetting expectations of an extension in supply cuts by two leading OPEC+ members Saudi Arabia and Russia
futures for November fell 10 cents, or 0.11%, to $88.90 a barrel. U.S. West Texas Intermediate crude (WTI) October futures rose 33 cents, or 0.39%, to $85.88 at 0029 GMT.
Saudi Arabia is widely expected to extend voluntary oil cuts into October and Russia will unveil a new OPEC+ supply cut deal this week, according to its deputy prime minister.
“Data released last week showed that increasing exports from Iran and Nigeria are being offset by falls in Saudi Arabian output,” ANZ Research said in a note, adding that news from Russia also helped ease concerns of increasing supply elsewhere.
On the downside, markets have overall priced in China’s recent measures to boost the country’s faltering economy, offsetting support from the expected oil supply cuts.
In Japan, the world’s third biggest economy, household spending in July fell 5.0% from a year earlier, deeper than a forecast decline of 2.5% and continuing into a fifth month of falls.
