From 10:30 am ET Thursday, U.S. WTI Crude was down 1.16% on the day to trade at $89.58. International benchmark Brent Crude also fell and traded below $100 a barrel for a second straight day amid a global economic slowdown and fears of a recession, which could reduce demand growth this year compared to last year. Brent was down 1.44% at $95.36 at 10:30 am. In addition, the tightness in natural crude markets appears to have eased in recent days, with spot deliveries trading at smaller premiums. Oil prices fell 4% on Wednesday, to levels seen just before Russia’s invasion of Ukraine, after the US Energy Information Administration reported a big increase in crude inventories of 4.5 million barrels for the week to July 29 . “The main bearish signal for crude appeared to come from Energy Information Administration data showing an unexpected and significant increase in U.S. commercial crude inventories and a plunge in gasoline demand for the week ended July 29,” Vanda said Insights early Thursday during trade in Asia. . Rising U.S. inventories and growing worries about oil demand in slowing economies have been bigger drivers of oil prices since OPEC+’s decision on Wednesday to raise the group’s collective oil production target by 100,000 barrels per day (bpd) in September, which was largely dismissed as a non-event by analysts. “Oil prices are weak in the wake of the OPEC+ meeting, which may have less impact on price action than the outlook for the global economy as a possible looming recession weighs on the demand outlook,” strategists said. of Saxo Bank on Thursday. By Tsvetana Paraskova for Oilprice.com More top reads from Oilprice.com:
