Oil down

Brent below $75 - down 4%

A recent release of economic data from China has intensified fears that the country's economic growth, particularly in the context of its substantial oil consumption, may not rebound in 2024. This concern is further fueled by the significant decline in key indicators of domestic factory demand in August, which surpassed initial projections.

The price of Brent crude oil has fallen significantly in recent days. This decline was triggered by a news report suggesting that the Organization of the Petroleum Exporting Countries (OPEC) and its allies (OPEC+) might increase oil production due to a disruption in Libyan oil production. However, the price drop accelerated when news emerged that the Libyan oil disruption was nearing resolution. This means that the initial concern about a potential oil supply shortage, which had led to higher prices, was now alleviated.