WTI: Crude Oil fluctuated around $84.5 per barrel on Tuesday, remaining sideways for the fourth session as traders balanced the prospect of tighter supply against fears of a global economic slowdown.
Oil prices remain supported as OPEC+ is set to cut output by 2 million barrels a day from November, while the European Union ban on Russian crude will take effect in December.
A softer dollar and hopes for a slower pace of US Federal Reserve rate hikes also lifted risk sentiment. Meanwhile, fears about a potential global recession-driven demand downturn continued to hang over the market.
US private sector activity contracted for the fourth straight month in October due largely to weaker demand, signaling that tighter financial conditions are already having an impact on the economy.
Policy and economic uncertainties in top crude importer China also clouded the demand outlook as President Xi Jinping tightened his grip on the country’s decision-making bodies