Oil is in red zone on weak industrial output data of China

Oil is in red zone on weak industrial output data of China

The cost of December futures for oil of mark Brent has fallen to 48,92 dollars per barrel, the price of December WTI oil futures fell to 45,94 per barrel.

MOSCOW, 2 Nov. World oil prices on Monday are significantly reduced, mostly weak data on industrial production in China, the world’s largest consumer of “black gold”, according to AFP and analyst opinions.

As at 13.37 GMT the cost of December futures for North sea petroleum mix of mark Brent has decreased on 1,31% — to 48,92 dollars per barrel. The price of December futures for WTI crude oil fell by 1.44% to 45,94 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. PMI is a survey of purchasing managers in industry. Thus, the PMI index in industry of China for the eighth successive month below the 50 point mark.

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. 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.

Russia reported that its production in October reached post-Soviet record in 10,78 million barrels a day, Reuters reports.

“The high level of oil production by OPEC, a record level of production in Russia and weak Chinese data — all this puts pressure on the price of oil,” says senior analyst for oil at Commerzbank Carsten Fritsch (Carsten Fritsch), which leads the Agency.