Oil rates drop as investors await upcoming economic data from China, US

( MENAFN ) Oil prices declined on Monday during light trading ahead of the year-end, as market participants awaited upcoming economic data from China and the United States later this week. These reports are expected to provide insights into economic growth in the two largest oil-consuming nations, which could influence demand trends in the global energy market. The lack of significant trading activity contributed to the subdued market movement as the year drew to a close.

Brent crude futures recorded a slight decrease of 6 cents, settling at USD74.11 per barrel by 0111 GMT. Meanwhile, the more actively traded March contract for Brent crude was also down by 6 cents, trading at USD73.



73 per barrel. On the other hand, U.S.

West Texas Intermediate (WTI) crude experienced a modest decline of 8 cents, reaching USD70.52 per barrel during the same period. The minimal price changes reflected the cautious stance of traders amid limited activity.

Despite Monday's decline, both crude benchmarks managed to post a 1.4 percent gain last week. The increase was attributed to a larger-than-expected drop in U.

S. crude inventories for the week ending December 20. This drawdown was driven by increased refinery activity and a surge in fuel demand, particularly during the holiday season when travel and consumption typically rise.

The market’s focus remains on upcoming economic data from the United States and China, which are key indicators of energy demand in the coming months. Traders are watching closely for any signs of strengthening or weakening economic growth, as these could have a direct impact on oil consumption levels and price trends in the new year. MENAFN30122024000045015839ID1109040436 Legal Disclaimer: MENAFN provides the information “as is” without warranty of any kind.

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