Oil prices rebound, but weekly losses likely as demand concerns persist
Investing.com — Oil prices rose Thursday, recovering from near four-month lows although concerns over a slowdown in global crude demand remain.
By 03:20 ET (xx.xx GMT), the U.S. crude futures traded 1.1% higher at $76.15 a barrel, while the Brent contract climbed 1.1% to $80.35 a barrel.
Both contracts fell in the previous session to their lowest levels since late July, with Brent briefly trading below the key $80 a barrel level.
Despite today’s gains, the market is on course for hefty losses this week following data from the American Petroleum Institute, an industry body, showing U.S. crude inventories registering their biggest weekly build since February, almost 12 million barrels in the week to Nov. 3.
The API data signaled some cooling in U.S. fuel consumption, especially as the winter season approaches. The official numbers from the Energy Information Administration are now due next week, after being delayed.
Additionally, China, the world's biggest oil importer, fell back into disinflationary territory in October, according to data released earlier Thursday, indicating that the country’s recovery is wavering despite repeated efforts from Beijing to improve economic growth.
The inflation readings came just a few days after disappointing trade data from the country. While China’s oil imports still remained steady, analysts warned of a potential slowdown in crude demand, especially with high stockpiles and potentially lower export quotas for refiners.
In Europe, data released this week showed weak retail sales and a downturn in eurozone business activity last month, suggesting there is a growing chance of a recession in this important energy consuming region.
These concerns about a slowing global economy, and thus
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