Oil steadies as supply outages counterbalance increasing output
Fears of shortages, which pushed prices as high as $80 per barrel earlier in 2018, are receding and concerns about looming surpluses are growing
London — Oil prices stabilised on Tuesday as worries over supply disruptions balanced signs of increasing production and potential damage to global growth from the US-China trade dispute. Benchmark Brent crude oil was up 15c at $71.99 a barrel by 9.20am GMT after earlier falling to $71.35, its lowest since April 17. The contract fell 4.6% on Monday. US light crude was up 15c at $68.21 a barrel. It lost 4.2% on Monday. "The perception in the oil market seems to be shifting," Carsten Menke, commodity research analyst at Swiss private bank Julius Baer, said. "Fears of shortages, which pushed prices as high as $80 per barrel in early [northern hemisphere] summer, are receding and concerns about looming surpluses growing." Oil prices have fallen by almost 10% over the last week as crude export terminals in Libya have reopened and exports from other Opec countries and Russia have improved. Also undermining prices is concern the growing trade war between the US and other major trading bloc...
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