Oil Prices Rebound After a Week of Losses
Last week, Brent fell over 7%, while WTI dropped close to 8%—their steepest weekly declines since September 2.
Brent futures rose by $1.23, or 1.68%, to $74.29 per barrel, while U.S. West Texas Intermediate (WTI) futures gained $1.34, or 1.94%, to $70.56 per barrel on Monday.
Oil prices climbed almost 2% during the session, recovering part of last week’s losses, which exceeded 7%, driven by concerns over slowing demand in China, the world’s largest crude importer, and reduced fears about supply disruptions in the Middle East.
Last week, Brent fell over 7%, while WTI dropped close to 8%—their steepest weekly declines since September 2—due to China’s economic slowdown and easing geopolitical risks in the Middle East.
In response to weakening growth, China lowered its benchmark lending rates on Monday, as expected, as part of broader stimulus efforts to boost the economy. Data released last Friday revealed that China’s economy grew at its slowest pace since early 2023 in the third quarter, fueling concerns about future oil demand.
Despite these headwinds, Saudi Aramco’s CEO expressed optimism at an energy conference in Singapore, stating that he remains “quite bullish” about Chinese oil demand, citing policy support for economic growth and increasing demand for jet fuel and liquid chemicals.
Geopolitical tensions in the Middle East may also offer price support. On Monday, Israeli forces intensified their offensive in northern Gaza, targeting hospitals and shelters for displaced residents, according to local reports.
These developments, combined with China’s stimulus measures and Aramco’s positive outlook, could help sustain the recovery in oil prices.
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