WASHINGTON (dpa-AFX) - Crude oil prices dropped to their lowest levels in a week amid concerns about a likely drop in crude demand due to weak global growth outlook.
Last week, after their meeting at Vienna, the OPEC and non-OPEC members agreed on a production cut of 1.2 million barrels from January 2019 to prevent a supply glut in the market and to arrest further declines in crude oil prices.
However, with the U.S.-China trade tensions escalating further following the recent arrest of Huawei Technologies Co.'s Chief Financial Officer and the latest data out of China indicating a slowdown in the world's second largest economy, crude oil prices have drifted lower again.
Crude oil futures for January delivery ended down $1.61, or 3.1%, at $51.00 a barrel on the New York Mercantile Exchange, the lowest settlement price in a week.
On Friday, crude oil futures for January ended up $1.12, or 2.2%, at $52.61 a barrel after OPEC and non-OPEC members reached an agreement to cut crude production next year.
Growth worries have increased after the latest data out of China showed far weaker than expected exports and imports for November. According to the data released on Saturday, China's exports rose 5.4% from a year earlier in November, marking the weakest performance since a 3% contraction in March. Imports were up 3% in the month, the lowest since October 2016.
Meanwhile, White House trade adviser Peter Navarro is reported to have said the Trump administration would raise tariff rates on China if the two countries fail to resolve their issues during the 90-day truce period.
Copyright RTT News/dpa-AFX