Commodity News
HeadLine : Oil prices slip on concerns U.S.-China trade deal may not boost demand
Date : Jan 15 2020
U.S. Treasury Secretary Steven Mnuchin said late on Tuesday that the tariffs would remain even as a trade deal is set to be signed on Wednesday. That could temper China's oil demand growth by limiting its access to its second-largest trading partner. Chinese demand has been the main driver of global fuel consumption growth. Concerns about increasing supply also pressured prices after a government report on Tuesday said that output from the U.S., currently the world's largest producer, will increase in 2020 by more than previously forecast. Additionally an industry report late on Tuesday said U.S. crude inventories increased last week. Brent crude (LCOc1) was down 21 cents, or 0.3%, at $64.28 per barrel. U.S. West Texas Intermediate crude futures (CLc1) were down 23 cents, or 0.4%, at $58.00 a barrel. U.S. President Donald Trump is slated to sign the Phase 1 agreement with Chinese Vice Premier Liu He at the White House on Wednesday. That agreement is expected to include provisions for China to buy up to $50 billion more in U.S. energy supplies. U.S. crude inventories rose by 1.1 million barrels, data from the American Petroleum Institute showed, countering expectations for a draw. Gasoline and distillate inventories also climbed.

Source : Investing
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