Oil prices falls on negative signals from China, Brent fell to $34.4 per barrel

Oil prices fall on Friday after rising the day before to six-week highs, according to Interfax. A negative impact on the market was provided by the information that China for the first time since 1994 will not set a target for annual GDP growth rates due to the consequences of the coronavirus epidemic.

In addition, the focus of traders is another aggravation of relations between Washington and Beijing after the PRC announced its intention to consider the Hong Kong national security bill.

The cost of July futures for Brent oil on the London ICE Futures exchange at 8:10 Moscow time was $ 34.4 per barrel, which is $1.66 (4.6%) lower than the closing price of the previous session. As a result of trading on Thursday, July contracts rose $0.31 (0.9%), to $36.09 per barrel - the highest since March 10.

Futures for WTI oil for July in electronic trading on the New York Mercantile Exchange (NYMEX) by this time fell in price by $2.08 (6.13%) to $31.84 per barrel. By the close of previous trading, the price of contracts increased to $33.92 per barrel, which is also the maximum since March 10, rising by $0.43 (1.3%).

Since early May, WTI has risen in price by 80%, Brent - by 43% on expectations of an increase in demand following the gradual recovery of economic activity in the world, as well as a decrease in production by major manufacturers.

Related news