Tuesday, 5 March 2019 19:30 WIB |
Oil fell as China lowered its target for economic growth, fanning concerns about fuel demand in the world™s second-biggest economy, while OPEC member Libya restarted its biggest oil field.
Futures in New York slid 0.4 percent, trimming Monday™s 1.4 percent advance. China cut its target for gross domestic product in 2019 to a range of 6 to 6.5 percent, according to an annual report by the country™s premier. Libya™s Sharara oil field resumed pumping following an unplanned shutdown in December, complicating efforts by other members of the Organization of Petroleum Exporting Countries to avert a global surplus.
Oil has rallied about 24 percent this year as OPEC and its allies, including Russia, restrain production to avert a supply glut. But the surge has been capped by worries about oil demand, as the global economy looks increasingly fragile and slowing economic growth in China is exacerbated by a prolonged trade dispute with the U.S.
West Texas Intermediate for April delivery was down 25 cents at $56.34 a barrel on the New York Mercantile Exchange at 10:52 a.m. London time. It climbed 79 cents on Monday as the U.S. and China were said to be near a settlement of their trade dispute.
Brent for May settlement traded down 37 cents at $65.30 a barrel on the London-based ICE Futures Europe exchange. The global benchmark crude™s premium over WTI for the same month narrowed to $8.57 a barrel.
Source : Bloomberg