Oil falls on concerns economic slowdown may dent fuel demand
(VOVWORLD) - Oil prices fell on Monday, ending three days of gains, on fears aggressive U.S. interest rate hikes may lead to a global economic slowdown and dent fuel demand.
 Oil pump jacks are seen at the Vaca Muerta shale oil and gas deposit in the Patagonian province of Neuquen, Argentina, January 21, 2019. (Photo: REUTERS) |
Brent crude futures for October settlement declined to 95.55 USD a barrel by with concerns over slowing demand in China because of a power crunch in some areas also weighing on prices.
US West Texas Intermediate (WTI) crude futures for September delivery, due to expire on Monday, was down at 89.65 USD a barrel. Both Brent and WTI climbed for a third straight day on Friday, but fell about 1.5% for the week on a stronger dollar and demand fears.
China's Sichuan began limiting electricity supply to homes, offices and malls last week because of a severe power crunch driven by extreme heat waves and drought.
Strength in the US dollar, which was hovering at around a five-week high, also weighed on crude prices because it makes oil more expensive for buyers in other currencies.