Oil Retreats Further Towards $90 Barrel

WTI Crude Oil :  fell further toward the $90 per barrel mark on Monday, approaching February lows of $87 from earlier in August as prolonged concerns of a worldwide economic slowdown pressured demand outlooks.

Industrial production growth in top oil importer China missed expectations, compounding concerns of further Covid lockdowns in large cities and real estate woes.

Still, demand expectations are mixed, with the IEA raising its forecast due in large part to gas-to-oil switching for power generation, while OPEC expects lower demand and clung to a cautious approach in supply increases.

In the meantime, hopes of more supplies from Iran emerged after the state run IRNA said that it could accept the EU’s offer to revive the Iranian nuclear deal.

Elsewhere, Saudi Aramco head Amin Nasser said Sunday that the state-owned firm stands ready to raise crude output to its maximum capacity of 12 million barrels a day if the Saudi Arabian government orders it to do so

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