Global crude oil prices declined last week. Brent crude oil futures dropped 1.7 per cent during the week to end at 65.85 dollars a barrel, while the US crude fell 1.1 per cent to close at 62.80 dollars per barrel. Weaker economic data from China also raised concerns over fuel demand.
Chinese government data showed factory output growth slumped to an eight-month low and retail sales growth expanded at its slowest pace since December, weighing on sentiment despite stronger oil throughput in the world’s second-largest crude user. Forecasts of a growing oil market surplus also weighed on sentiment.
This week International Energy Agency predicted that the oil market looks “bloated” after the latest increases to OPEC+ output.
