Oil posts a weekly loss amid dour economic outlook, supply rise

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Oil suffered weekly losses due to the global slowdown and concerns over abundant oil supplies.

New York State futures fell 1.7{7be40b84a6a43fc4fae13304fce9a2695859798abfc41afd127b9f8b21c5f9c5} this week. China has reported the slowest economic growth since the early quarter of the 1990s, and data from the U.S. government a day ago showed that US crude oil stocks are on the rise.

Leo Mariani, energy analyst at Keybanc Capital Markets in Dallas, said, “The oil market continues to focus on demand, and still continues to see signs of lukewarm oil. "We've stopped investing in a lot of business, which has affected oil investment."

Data from the Energy Information Administration show that US crude oil inventories increased 9.3 million barrels per week.


"The real market is still struggling with a significant surplus outlook next year," said Daniel Ghali, commodity strategist at TD Bank in Toronto. "I'm starting to worry about how much OPOPE can do to offset this."

From HoustonChronicle.com: Crude oil surged but overall oil supply declined

In November, India's WTI fell 15 percent, settling at $ 53.78 a barrel on the New York Mercantile Exchange.

Brent crude oil for a compromise in December fell 49 cents, closing the deal at $ 59.42 per barrel in London-based ICE Futures Europe. This week, the world benchmark fell 1.8 percent and hit a $ 5.55 premium to WTI that same month.

China's gross domestic product (GDP) surpassed estimates and the outlook for global demand for crude oil has deteriorated. As trade wars continue to reduce exports to the United States, China's economy will continue to struggle as deflationary pressures hit company profits.

John Kilduff, partner of New York's hedge fund Again Capital LLC, said in a telephone interview: "The demand outlook is a question mark because China's nightly data is not large." "The slowdown in GDP did not help, and the market is still fighting him."

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