Crude oil rates drifted lower on Friday as weak financial information raised worries about international growth and activated concerns about a most likely drop in fuel need.
West Texas Intermediate Petroleum futures for May ended down $0.94, or 1.6%, at $59.04 a barrel.
On Thursday, petroleum futures for May ended down $0.25, or 0.4%, at $59.98 a barrel.
For the week, crude oil futures acquired about 0.4%.
Data released today showed contraction in eurozone service sector activity. France’s service sector growth slowed to the most affordable level in 2 months and Germany’s economic sector growth dropped to the slowest speed in 6 years.
Weak U.S. factory information, the current comments about interest rate outlook and the U.S. economy by the Federal Reserve, Brexit uncertainty and clashing reports about U.S.-China trade negotiaitons all weighed on crude oil rates.
The OPEC-led output cuts, Saudi Arabia’s choice to extend production cut and the U.S. sanctions on Iran and Venezuela keep supporting oil costs at times, concerns about international financial slowdown seem to put a brake on oil prices at routine intervals.
On the U.S.-China trade front, concerns continue to linger after U.S. President Donald Trump alerted on Wednesday that he would likely keep tariffs on Chinese items for a “substantial period” up until he makes sure Beijing is abiding by any trade contract.
According to reports, the U.S. and China are set to resume talks next week following conflicting reports over the development of settlements in recent days.
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