WTI price drifts lower from the $76 mark, amid shifting financial dynamics and global growth concern – by Dippusen WTI Oil OPEC Growth
Global growth concerns start to pick up on the back of the SVB fallout.Intermediate price is trading flat on Tuesday amid a softer US Dollar and muted risk sentiment. Touching briefly on Monday’s price action, WTI has fallen to the low of $72.31 level on the back of a strong risk-off environment ignited by Silicon Valley Bank and Signature Banks’ fallout. Since then, the WTI price has rebounded sharply in the wake of the Federal Reserve’s backstop plan.
Higher borrowing cost across the globe is denting the financial system and raising growth concerns. WTI price is in the corrective decline since the China reopening story is not looking optimistic, as the populous country lowered its growth forecast to 5.0%. The SVB fallout is adding to the global growth concern, as it is perceived as an indication of the first dent among many in the financial system. Businesses are struggling with their repayments amid rising borrowing costs and eventually, it will result in a slowing demand.
Despite tighter production and many voluntary cuts from the Organization of the Petroleum Exporting Countries , theOil prices are impacted by a combination of factors like the US Dollar, inflation, OPEC, and global growth concerns. Adding all of the aforementioned factors, it is hard to justify the directional character of oil prices but seems that the oil market is taking its cue from growth concerns mainly.
It will also be important to watch the OPEC stance on lower oil prices since these countries are facing a struggle to keep oil above the oil prices to desired $80 mark.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Landowners fear injection of fracking waste threatens West Texas aquifersOperators pump a sea of “produced water” underground for disposal. Intensifying tremors raise fears that the deep toxic waste pits could intermingle with water used for farming and drinking.
Read more »
Houston gets No. 1 seed in Midwest Region that also includes Texas, Texas A&MHouston received the No. 1 seed in the Midwest Region for the NCAA Tournament on Sunday night, and that region could also see a matchup between Texas and Texas A&M.
Read more »
Takeaways from NCAA men’s tournament bracket: Potential Texas vs. Texas A&M matchup loomsAll college basketball roads lead to Houston for the 68 teams that make up the bracket for the NCAA men’s basketball tournament. Of course, there are a few...
Read more »
Whataburger layoffs, USAA execs’ pay and Elon Musk’s new town among the week’s biggest storiesBill Miller BBQ’s birthday and tension over plans for a West Texas wind farm also grabbed headlines.
Read more »
WTI falls on US banking fears amidst a soft US DollarWestern Texas Intermediate (WTI), the US crude oil benchmark, dropped more than 2% on risk-off impulse, with a bank crisis in the United States (US) r
Read more »