Oil falls as traders fret about global growth
Oil is swept lower by a broad decline across markets, as evidence of more crude supply wipes out half of this week’s gains
London — Oil prices fell on Wednesday, swept lower by a broad decline across financial markets, as concern about the outlook for global growth and evidence of yet more crude supply wiped out half of this week’s gains. Producer cartel Opec, with partner countries such as Russia, meets on Thursday to discuss a potential cut in crude output. In the face of a growing supply overhang, it will be keen to avert the kind of build-up in global oil inventories that sent prices on a 19-month long decline starting in late 2014. After reaching a truce on trade over the weekend, the US and China appeared once again to be at loggerheads after President Donald Trump threatened “major tariffs” on Chinese imports if the two failed to reach an effective deal. Stock markets tumbled, taking cyclical assets such as oil with them, as the renewed tension rekindled fears of a global recession. Those concerns were reflected by a sharp drop in longer-term US treasury yields. Brent crude futures were down 28c ...
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