Oil drops more than 1.5% after China’s GDP data – 07/17/2023 – Market

Oil prices fell more than 1.5% on Monday (17), after weaker-than-expected economic growth in China raised doubts about the strength of demand in the world’s second-largest oil consumer.

A partial resumption of Libyan oil production, which had been halted, also pressured prices.

China’s Gross Domestic Product (GDP) grew 6.3% year-on-year in the second quarter, up from 7.3% on analysts’ forecasts, as the post-pandemic recovery weakens.

Brent crude fell $1.37, or 1.7%, to settle at $78.50 a barrel, while US crude (WTI) lost $1.27, or 1.7%, to settle at $74. .15, the second consecutive day of losses for both contracts.

Oil also came under pressure on Monday as production resumed at two of the three Libyan fields closed last week. Production had been interrupted by a protest against the kidnapping of a former finance minister.

Meanwhile, Russian oil exports from western ports are expected to fall by 100,000 to 200,000 barrels per day (bpd) next month, a sign that Moscow is fulfilling its promise of supply cuts in conjunction with Saudi Arabia. , two sources said on Friday.