Oil near six-month low as fears of short­age sub­side


Oil traded near a six-month low as the prospects of a tight global mar­ket at the end of year fur­ther re­ceded af­ter the US soft­ened the restart of sanc­tions against Iran. Crude oil in New York slipped 0.4%, fall­ing for a sixth day. Sanc­tions against Iran snapped back on Mon­day, though eight coun­tries were al­lowed to con­tinue buy­ing some crude oil from the coun­try, ac­cord­ing to US sec­re­tary of state Michael Pom­peo. Hedge funds re­duced bullish bets for an eighth week as ex­tra sup­plies from the Or­ga­ni­za­tion of the Pe­tro­leum Ex­port­ing Coun­tries (Opec) and the US as­suaged con­cerns of a po­ten­tial short­fall.

Oil slid from a four-year high last month as spec­u­la­tion grew that Wash­ing­ton would grant waivers on Ira­nian sanc­tions to lower pump prices ahead of the US midterm elec­tions, while other pro­duc­ers in Opec pledged to off­set any sup­ply gaps. West Texas In­ter­me­di­ate crude for De­cem­ber de­liv­ery fell as much as 1% to $62.52 a bar­rel on the New York Mer­can­tile Ex­change, the low­est since 9 April. BLOOMBERG

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.