Dec 22, 2024 4:38 p.m.

Oil prices hover near 14-month low amid demand concerns

Despite a notable 6.9 million-barrel drop in US commercial crude inventories last week, as reported by the EIA, and discussions within OPEC+ about delaying planned supply hikes originally set for October, market sentiment remained subdued.

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Oil prices hovered near a 14-month low on Thursday as mounting concerns over demand in the United States and China, coupled with expectations of increased supply from Libya, outweighed the impact of a significant drawdown in U.S. inventories and potential delays in OPEC+ production increases.

Brent edged down by 1 cent to settle at $72.69.barrel.

WTI fell by 5 cents, or 0.1%, to close at $69.15/barrel.

Despite a notable 6.9 million-barrel drop in US commercial crude inventories last week, as reported by the EIA, and discussions within OPEC+ about delaying planned supply hikes originally set for October, market sentiment remained subdued.

Investor confidence was further shaken by disappointing economic data from the US and China, the world's largest crude consumers. Adding to the bearish sentiment, Libya signaled progress toward resolving a political standoff that had significantly curtailed its oil output, potentially paving the way for a surge in supply.

 

Written by: Rochelle Nguyen