The fear of sluggish demand recovery in China’s prospects of tighter supply with the topmost exporters like Saudi Arabia and Russia cutting output.
Demand concerns have lingered over the world’s top crude importer, China, as it has lifted the pandemic restrictions. This is amidst global macroeconomic headwinds and interest rate hikes by various central banks.
As per sources, Brent Crude Oil dipped 21 cents, or 0.3%, to dollar 76.44 a barrel at 9.50 AM Saudi Arabia time after setting 0.5 % higher a day before.
Oil and Gas firms are needed to achieve net zero emissions before or by 2050, and an industry-wide commitment to reach near-zero methane emissions needs to be accelerated by 2030.
The world’s biggest crude exporter on Monday said that it’s going to expand the voluntary output cut of the current 1 million barrels per day. The Russian and Algerian governments both reduced their output and export levels by 500,000 barrels per day and 20,000 barrels per day, respectively, in August. Reuters polled four analysts who expected U.S. crude inventories to drop by 1.8 million barrels.
Investors are still concerned over the oil demand however the business surveys showed a slump in the activity due to sluggish demand in regions of China and Europe. Data on U.S. crude and product inventories from the American Petroleum Institute later on Wednesday and government data on Thursday will serve as demand cues for traders.
