Oil prices fall after data on weak Chinese demand

Oil prices fell 2 percent on Monday after Chinese data showed that demand from the world’s largest importer of crude remained weak in September, as strict anti-Covid-19 policies and restrictions on fuel exports reduced consumption.

Brent crude futures fell $1.67, or 1.8 percent, to $91.83 a barrel by 0855 GMT, after rising 2 percent last week, while US West Texas Intermediate crude for December delivery fell $1.78, or 2.1 percent, to $83.27. barrel.

Customs data showed that although China’s crude oil imports for September were higher than August at 9.79 million barrels per day, they were down 2 percent from last year.

In September, Saudi Arabia and Russia were on equal footing as China’s biggest suppliers.

ING’s analysts said in a note that the uncertainty over the anti-coronavirus policy and the real estate crisis in China undermined the effectiveness of pro-growth measures. However, GDP growth in the third quarter exceeded expectations.