WASHINGTON (dpa-AFX) - Oil prices fell sharply on Friday on concerns about the outlook for demand due to data showing a drop in China's oil imports, and disappoint over the size of China's fresh stimulus measures.
Also, the risk to U.S. oil and gas output from a hurricane has declined following a report from the U.S. National Hurricane Center that Hurricane Rafael weakened to Category 2 and will likely move slowly westward over the Gulf of Mexico and away from U.S. fields.
The potential impact of Donald Trump's upcoming presidency weighed as well. The rising U.S. dollar too hurt oil prices.
West Texas Intermediate Crude oil futures for December closed down $1.98 or about 2.7% at $70.38 a barrel. However, the contract gained about 1% in the week.
Brent crude futures settled lower by $1.76 or about 2.33% at $73.87 a barrel.
Although the $1.4 trillion plan announced today by the Standing Committee of the National People's Congress in China was substantial, analysts said the country needs to do more to stabilize the economy.
According to official Chinese data released on Thursday, China imported a total of 10.53 million barrels per day (bpd) of crude oil in October. That's 9% lower compared to October 2023 and 2% below the import level of 11.07 million bpd in September 2024.
A report from Baker Hughes the oil and gas rig count was steady at 585 in the week to November 8. Baker Hughes said oil rigs held at 479 this week, while gas rigs were unchanged at 102.
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