Brent Crude Oil : Steadied Trade above $94 per barrel on Friday but were still down about 3.5% so far this week, having come under renewed pressure from a weakening demand outlook due to surging inflation, tightening financial conditions and mounting risks of a global recession.
Earlier this week, the OPEC, US Energy Department and International Energy Agency all slashed their global oil demand forecasts in their monthly reports. Highlighting softer demand, official data showed that US crude inventories surged by 9.9 million barrels last week, way more than market expectations for a 1.8 million barrel rise, while gasoline stocks jumped by 2 million barrels versus estimates for a 1.8 million barrel drop.
Lackluster demand in top crude importer China as it clings to its zero-Covid policy also weighed on oil prices. The UK oil benchmark rallied 15% last week after OPEC+ agreed to a large supply cut, but the IEA warned that resulting price spikes could tip the global economy into recession