Oil prices drop as demand worries prevail
Oct 01, 2022
New York [US], October 1: Oil prices fell on Friday as traders worried about a deteriorating demand outlook.
The West Texas Intermediate (WTI) for November delivery decreased 1.74 U.S. dollars, or 2.1 percent, to settle at 79.49 dollars a barrel on the New York Mercantile Exchange. Brent crude for November delivery lost 53 cents, or 0.6 percent, to settle at 87.96 dollars a barrel on the London ICE Futures Exchange.
The pullback came as oil participants grew fearful that aggressive monetary tightening by central banks could increase the risk of a recession, hurting demand for fuel.
Markets also awaited a key decision by the Organization of the Petroleum Exporting Countries and its allies, collectively known as OPEC+, as the group is set to meet next Wednesday and discuss future output strategy.
Despite Friday's weakness, oil prices managed to book a weekly gain. The WTI was up nearly 1 percent for the week, while Brent rose 2.1 percent.
For September, the U.S. crude benchmark lost 11 percent, and Brent dropped 8.8 percent, according to Dow Jones Market Data.
Source: Xinhua
