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Oil Steady With Supply Tight

Oil Steady With Supply TightOil Steady With Supply Tight

Oil prices were steady on Monday as US-China trade tensions continued to threaten demand for oil, but tight crude supply and the swift end to a trade dispute between Mexico and the United States offered support.
Front-month Brent crude futures were at $63.42, 13 cents, or 0.21%, above Friday’s close. US West Texas Intermediate crude futures were at $54.19 per barrel, up 20 cents, or 0.37%, CNBC reported. 
A deal between the United States and Mexico to combat illegal migration from Central America late last week removed the threat of US tariffs on goods imported from Mexico, buoying markets on Monday. 
But analysts said there were still concerns about the health of the global economy with no signs of an end in sight to the United States’ trade war with China. 
Harry Tchilinguirian, global oil strategist at BNP Paribas, told the Reuters Global Oil Forum that the US and China accounted for around three-quarters of annual global oil demand growth in 2018. 
“If Sino-US relations do not improve, the spot price of oil, in our view, will remain depressed,” he said. 
China’s crude oil imports slipped to around 40.23 million tons in May, down from an all-time high of 43.73 million tons in April, customs data showed on Monday, due to a drop in Iranian imports caused by US sanctions and refinery maintenance.

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