Although oil prices increased on Friday, they were headed for their fourth straight weekly fall as indications of the weakening growth in the world’s fuel consumption overcame concerns about supply interruptions.
By 6:45 a.m. Saudi time, Brent crude futures had increased by 62 cents, or 0.8 percent, to $80.13 a barrel, while US West Texas Intermediate crude futures had increased by 62 cents, to $76.93.
Over the last four weeks, both benchmarks have lost around 7.3 percent of their value, which is the largest run of weekly losses this year.
A poll indicating weaker manufacturing activity in Asia, Europe, and the US, along with disappointing economic statistics from the world’s largest oil importer, China, highlighted the possibility of an anemic global economic recovery that would put pressure on oil consumption.
Analysts at ANZ said in a report that “China’s road traffic saw a seasonal decline for the third consecutive year.” “Weaker US economic data suggested weaker prospects for oil demand.”
A decline in Chinese industrial activity further restrained prices, raising worries about the expansion of demand following statistics released in June that indicated lower-than-annual import and refinery activity.
According to data from LSEG Oil Research, Asia’s imports of crude oil fell in July to their lowest level in two years as a result of sluggish demand in China and India.
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