Oil slips 1% on rising US rig count
Adding to pressure on prices is more bad news coming out of China, which shows its economy is being increasingly hurt by the ongoing trade war
London — Oil fell 1% on Monday after US companies added rigs for the first time this year, a signal that crude output may rise further, but the price is still on course for its strongest January gain for 14 years. The ongoing trade dispute between the US and China looks unlikely to end any time soon and the impact of the dispute on the Chinese economy is increasing. Brent crude oil futures were down $1.14 at $60.50 a barrel by 10.38am GMT, while US futures were down $1.05 at $52.64 a barrel. US crude production, which hit a record 11.9-million barrels a day late last year, has undermined sentiment in the oil market, traders said. US energy firms last week increased the number of rigs looking for new oil for the first time since late December to 862, Baker Hughes energy services firm said in its weekly report on Friday. “The increase in drilling activity in the US as reported by the oil service provider Baker Hughes on Friday evening is generating headwind,” Commerzbank said in a not...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.