Oil Plunges In Asia Despite Fall In US Drilling Activity
Sep, 28th 03:30
Oil prices dropped in Asian trading hours on Monday despite a fourth weekly fall in US drilling activity, with analysts pointing to the weak economic outlook as the main reason for low crude prices.
China’s August industrial profits dropped 8.8 percent from the same month last year, and January to August industry profits were down 1.9 percent, according to forex calendar.
In line with bearish sentiment, Brent crude futures were down almost 1 percent, or 45 cents, at $48.15 per barrel at 0138 GMT. US West Texas Intermediate (WTI) futures were also 1 percent lower, or 47 cents, at $45.23 a barrel.
Crude futures are now down over 10 percent since the beginning of the month, and rating agency S&P cut its Brent and WTI forecasts late last week by $5 to $50 per barrel and $45 per barrel respectively for this year and said it saw 2016 prices at $55 for Brent and $50 for WTI.