Oil extends losses as weak demand outlook lingers global recession fear
Oil prices fell on Tuesday as bleak economic data from top crude buyer China renewed fears of a global recession.
Brent crude futures fell $1.21, or 1.3%, to $93.89 a barrel by 0635 GMT. WTI crude futures dipped 84 cents, or 0.9%, to $88.57 a barrel. The oil future benchmarks fell about 3% in their previous sessions.
China’s central bank cut lending rates to revive demand as the nation’s economy slowed unexpectedly in July, with factory and retail activity squeezed by Beijing’s zero-COVID policy and a property crisis.
“Commodities prices across the board were under pressure as China’s July economic data painted a more downbeat growth picture than previously expected, which prompted renewed concerns on demand outlook,” wrote Yeap Jun Rong, market strategist from IG Group, in a note.
