Oil prices lower on weak statistics from China

Oil prices lower on weak statistics from China


The cost of December futures for North sea petroleum mix of mark Brent has fallen to 49,33 USD per barrel. The price of December futures for oil of mark WTI fell to 46,48 dollars per barrel.

MOSCOW, 2 Nov. The world prices for oil on Monday decrease on weak data on the industrial sector of China; slowdown limits data from the U.S., according to AFP and analyst opinions.

As at 18.29 GMT the cost of December futures for North sea petroleum mix of mark Brent has decreased on 0,49% — to 49,33 USD per barrel. The price of December futures for oil of mark WTI fell by 0.26% to 46,48 dollars per barrel.

According to an independent survey Caixin and Markit Economics, the index of business activity (PMI) in the industrial sector of China in October amounted to 48.3 vs 47.2 points in September. Thus, according to the state statistical Bureau of China, the PMI index in the industrial sector of the country in October amounted to 49.8 points, as well as in September. Thus, business activity in China weakened for the third consecutive month, in August this index was 49.7 points. A value above 50 indicates growth in activity, lower — its decline.

“The statistics suggests that the decline in the traditional sector of heavy industry and industrial production will continue for some time, that means lower demand for oil”, — quotes Agency MarketWatch words of the economist, National Australia Bank, Vien Lai (Vyanne Lai).

At the same time, mitigate the negative on Monday helps statistics from the United States. The U.S. Institute for supply management (Institute for Supply Management, ISM) reported Monday that the index of business activity in industrial sector of the U.S. economy (ISM Manufacturing) in October fell to 50.1% from September’s reading of 50.2%. The data has appeared better forecasts of analysts which expected indicator decrease to 50%.