WTI Crude Oil Starts a New Week on a Bearish Footing - Forex News by FX Leaders
WTI crude oil

WTI Crude Oil Starts a New Week on a Bearish Footing

Posted Monday, October 21, 2019 by
Arslan Butt • 1 min read

WTI crude oil prices are trading weaker at the start of a new trading week as concerns of a potential slowdown in the global economy come to the fore once again. At the time of writing. WTI crude oil is trading around $53.63 per barrel as weaker demand weighs on oil markets.

Crude oil’s bearishness was driven by weaker than expected China’s GDP growth in Q3 2019 as well as a disappointing US retail sales figure for September. Even though the US and China are negotiating the phase 1 trade deal, the trade war has had an impact on both their economies, and consequently on oil demand as both nations are among the top oil consumers in the world.

Crude oil has also been weighed down by reports of excess supply, with Russia reporting that it processed more oil than expected despite the weakening demand, in order to compensate for the upcoming winter. OPEC and its allies had previously agreed to curb crude production by 1.2 million bpd to offset the slide in demand for oil in global markets.

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About the author

Arslan Butt // Index & Commodity Analyst
Arslan Butt is our Lead Commodities and Indices Analyst. Arslan is a professional market analyst and day trader. He holds an MBA in Behavioral Finance and is working towards his Ph.D. Before joining FX Leaders Arslan served as a senior analyst in a major brokerage firm. Arslan is also an experienced instructor and public speaker.
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