Oil is cheaper on the risks for the world economy

Нефть дешевеет на рисках для мировой экономики

Brent crude in London traded at $57,96 per barrel, and WTI in new York costs $54,12.

World oil prices reference marks are falling in the Wake of continued concerns about the Outlook for the world economy. This according to the auction on Thursday evening, August 15.

So, as of 20:20 in Kiev, October futures for Brent on London’s ICE Futures exchange fell $1.52 m (2,56%) to $57,96 per barrel.

The cost of the futures on WTI for September on the electronic session on the new York Mercantile exchange (NYMEX) decreased by $1,11 (2,01%) – to $54,12 a barrel.

Thus, the spread between the current contracts for Brent and WTI is $3,84 in favor of Brent.

Pressure oil is also persistent apprehension over the prospects for the world economy, which is caused by the protracted conflict, the US and China. Earlier Thursday, China announced its intention to impose retaliatory duties on goods from the United States. This decision was a response to the planned entry fees 10% Washington. Risks associated with the trade, threatening world economic growth and may adversely affect the demand for oil.

Investors also continue to play weekly data on oil reserves in the U.S., which unexpectedly increased by 0.4% or 1.6 million barrels. Analysts expected reduction of stocks of 2.8 million barrels.