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Oil prices remain weak amid demand concerns and easing supply fears

Oil prices remained steady in early Asian trading, with Brent crude futures dipping by a cent and U.S. West Texas Intermediate (WTI) crude futures inching up. Despite this minor stability, both benchmarks are set to close the week on a lower note, with Brent crude down and WTI lower. More immediately, we see the CL-OIL-ECN (Crude Oil) chart reflecting a recent downward trend. We see this decline largely attributed to revised U.S. employment data, which has raised concerns about the demand outlook for oil. The weaker employment figures suggest that economic activity may be slowing, which could reduce demand for crude oil in the near term. Read more to find out why oil prices are weak here.

why oil prices weak

Disclaimer:

Market sentiment has been further influenced by ongoing ceasefire talks in Gaza. The discussions between U.S. and Israeli delegations in Cairo have eased fears of supply disruptions, adding downward pressure on oil prices. Global oil inventories have been declining over the past two months, indicating that supply growth is not keeping pace with demand. Traders should brace for continued volatility, sticking to proper risk management in making informed trading decisions in oil trading.

Publication date:

2024-08-24 18:29:33 (GMT)

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