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Oil prices fell by 2% on Monday as OPEC once again revised its outlook for global oil demand growth in 2024. This marks the producer group’s third consecutive downward revision. The decline was further fueled by a continued drop in China’s oil imports, which fell for the fifth straight month.

Brent crude loses 2% to settle at $77.46/barrel.

WTI fell 2.29%  to close at $73.83/barrel.

OPEC’s latest report reduced its forecast for global oil demand growth in 2024, with much of the adjustment focused on China, the world’s largest crude oil importer. The organization now expects China’s demand to grow by only 580,000 bpd, down from the previous forecast of 650,000 bpd.

Furthermore, recent economic stimulus measures in China have failed to significantly boost growth, as they lacked specific new incentives to drive consumer demand in the country, which remains a key player in global oil markets.

Written by: Muhammad Hafiz