By Srinivas Chowdary Sunkara // petrobazaar // 21st Oct, 2019.
Brent oil prices edged 49 cents lower to $59.42 and WTI futures prices inched 15 cents down to $53.78 a barrel on Friday. In Shanghai, crude oil main contract futures prices dropped by 1.2 Yuan or 0.27% to 447.3 Yuan/barrel while MCX October crude futures closed insignificantly at Rs.3808 on late week.
The world oil price index curve descended further last week sagged down the bench mark indexes by above 1% during the week . Slowing China's economic growth to 6% year on year in the third quarter due to slid in factory production amid escalation of trade war with U.S spilled over the fears in oil markets on Friday. Oil markets sidelined the bullish news of increase in Chinese refinery throughput in Sep, Indication of robust fuel demand despite of gloomy economy. Hopes for progress towards a trade deal limited the losses on Friday. Turning to data, Baker Hughes reported that the U.S drillers added another oil rig for the second consecutive week in a row. On the supply side, OPEC + group complied 236% of agreed quotas in Sep as per the sources.
Today morning, Oil indexes opened in red during Asian hours but it does not demonstrate any firm trend so far. I strongly feel that oil markets are waiting for further clues from on U.S – China trade negotiations to move. Good day.
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