Oil prices still falling. The reasons are in China and the USA

The price of oil is falling today, due to fears of increasingly weak demand in the two economic powerhouses China and the United States.
Brent and WTI prices had risen nearly 2% last Friday as Iraq expressed support for OPEC+ oil cuts, but then lost about 4% on the week, marking a third consecutive week of declines.
losses as had not happened since May.
Supply has not been affected by geopolitical events so far.
Crude supplies from the Middle East – the source of about a third of the world's crude – have remained the same since the conflict between Israel and Hamas, while shipments from Russia and the United States are rising.
At around 8.30 this morning, November 13, Brent futures are trading at 80.77 dollars a barrel with a drop of 0.81% and WTI is oscillating at 76 dollars a barrel, at -0.91%.
Oil prices fall further, demand is weak in China and the USA.
Uncertainty about the consumption of the two great world powers, China and the USA, is the main driver of the price of oil.
Having currently averted the expansion of the conflict in the Middle East which would open up alarming scenarios for crude oil prices (with forecasts of up to 157 dollars a barrel), the focus is entirely on the demand for fuel.
The US Energy Information Administration (EIA) said last week that crude oil production in the United States this year will increase slightly less than previously expected, while demand will decline.
Next year, per capita gasoline consumption in the United States could fall to its lowest level in two decades.
Weak economic data from China, the world's largest crude oil importer, also increased fears of falling oil demand.
The dragon is in deflation, evidence of still low consumption which is not stimulating the recovery as expected.
Additionally, Chinese refiners have requested lower supplies to Saudi Arabia, the world's largest exporter, for December.
What to expect on oil supply On the supply side, Saudi Arabia and Russia confirmed last week that they will continue with their further voluntary cuts in oil production until the end of the year, precisely because concerns about demand and growth economy continue to drag the price down.
Meanwhile, U.S.
energy firms reduced the number of operating oil rigs for the second straight week to the lowest level since January 2022, energy services firm Baker Hughes (BKR.O) said.
Finally, it should be noted that Iraqi Oil Minister Hayyan Abdul Ghani is visiting the Kurdistan region to discuss the resumption of exports via Ceyhan in Turkey.
The pipeline has been stopped since March due to a dispute between Turkey and Iraq and was also damaged by an earthquake.
Crude production, in this case, could increase and this was one of the factors that led Goldman Sachs Group Inc.
to cut its forecast for the average price of Brent for next year to $92 a barrel.
The bank still remains optimistic about demand, forecasting growth of 2.5 million barrels per day in 2023 and 1.6 million barrels per day in 2024.

Author: Hermes A.I.

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