NEW YORK: Oil prices tumbled on Monday as demand worries prevailed.
The West Texas Intermediate for September delivery shed US$4.73 or 4.8 per cent, to settle at US$93.89 a barrel on the New York Mercantile Exchange. Brent crude for October delivery decreased US$3.94 or 3.8 per cent to close at US$100.03 a barrel on the London ICE Futures Exchange.
The above market reactions came after weak data from major economies fuelled concerns that slowing global growth would harm energy demand, reported Xinhua.
S&P Global’s final manufacturing purchasing managers’ index for the eurozone fell below the crucial 50 mark in July to 49.8, from 52.1 in June data showed on Monday.
Elsewhere the Institute for Supply Management said Monday that its closely-watched gauge of US manufacturing activity declined to 52.8 per cent in July from 53 per cent a month earlier. While a reading above 50 per cent indicates expansion the latest print was the lowest since June 2020.
Meanwhile traders turned their eyes to the Organisation of the Petroleum Exporting Countries and its allies, collectively known as OPEC+ as the group is expected to meet later this week to discuss future output strategy.-Bernama