Oil settled lower on profit-taking, renewed concerns on weak economic outlook
However, prices were largely affected after surveys suggested slumped global factory activity in June stemming from weak demand in China and Europe.
International benchmarks for crude oil went down 1% on Monday, 3 July 2023 as traders took profit before the Independent Day in the US while renewed concerns over the weak economic outlook overshadowed the supply cuts planned for August by major exporters Saudi and Russia.
Saudi announced on Monday it would add on its voluntary supply cut of one million barrels per day (bpd) for August.
However, prices were largely affected after surveys suggested slumped global factory activity in June stemming from weak demand in China and Europe. Meanwhile, US inflation has slowed, but remained above the central bank’s 2% target, feeding fears of more interest rate lifts.
Brent crude dipped 76 cents or 1% to conclude at $74.65/barrel.
West Texas Intermediate went down 85 cents or 1.2%, at $69.79/barrel.