Crude oil prices clouded by China’s lower growth target

Crude oil prices clouded by China’s lower growth target

06/03/2017 13:47

Crude oil futures were trading lower during afternoon trade in the domestic market on Monday as investors and speculators exited their positions in the energy commodity on lingering worries over lower growth targets in China which could hurt oil demand.

Moreover, ongoing concern over Russia’s compliance with a global deal to cut crude oil production, too influenced crude oil prices.

China aims to expand its economy by around 6.5 per cent this year, lower than the 6.7 per cent growth achieved last year. Lowering of growth targets by China and tighter regulatory controls implies less demand for oil and commodities in general.

At the MCX, crude oil futures for March 2017 contract is trading at Rs 3534 per barrel, down by 0.62 per cent, after opening at Rs 3547, against a previous close of Rs 3556. It touched the intra-day low of Rs 3532 (at 13:32 hours).

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s