WASHINGTON (dpa-AFX) - Oil prices traded lower on Tuesday, a day after top oil producers agreed to cut output levels to support prices.
Benchmark Brent crude futures fell 2.8 percent to $93.06 a barrel, while WTI crude futures were down 0.3 percent at $86.64.
The Organization of Petroleum Exporting Countries and its allies (OPEC+) announced on Monday that they will slash oil production by 100,000 barrels per day (bpd) in October, roughly 0.1 percent of global demand, reflecting expectations of slower global economic growth.
OPEC+ leaders confirmed they can meet at any time, before a next agreed gathering on October 5, 2022, if production needs to be altered again.
Analysts see the OPEC output cut move as a largely symbolic one to stem the recent price slide because of recession fears.
Concerns about weak fuel demand came to the forefront after official data showed German factory orders declined 1.1 percent month-on-month in July, bigger than June's revised 0.3 percent decrease. This was the biggest fall since April, when orders decreased 1.7 percent.
On a yearly basis, factory orders logged a sharp fall of 13.6 percent after easing 9.0 percent in June.
Europe's energy crisis is deepening, raising concerns the crisis will push the both the eurozone and U.K. into recession.
Meanwhile, EU foreign policy chief Josep Borrell said he was less hopeful about reaching an agreement soon to revive a nuclear deal with Iran.
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