Oil prices edge lower ahead of inventory data

Published 29/10/2019, 02:42
© Reuters. Oil prices edge lower ahead of inventory data
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TOKYO, Oct 29 (Reuters) - Oil prices edged lower in quiet

trade on Tuesday as concerns about slower economic growth

overshadowed signs of a thawing in the trade war between

Washington and Beijing, while investors awaited U.S. inventory

data.

Brent LCOc1 futures were down 3 cents at $61.54 a barrel

by 0137 GMT, having fallen 0.7% on Monday.

U.S. West Texas Intermediate (WTI) CLc1 crude was down 9

cents at $55.72, after falling 1.5% in the previous session.

Prices rose sharply last week amid a decline in U.S.

inventories and signs of an easing in the U.S.-China trade war,

but worries on Monday about weaker economic growth offset hopes

of a rise in oil demand even if trade talks progress.

"Investors are still giving more weight to weakening demand

growth over tightening supplies," ANZ said in a note.

Total U.S. crude inventories were forecast to have increased

by around 700,000 barrels last week, according to a Reuters poll

of analysts, having unexpectedly fallen the previous week.

EIA/S

U.S. crude oil stockpiles at Cushing, Oklahoma, the delivery

point for WTI, have risen by about 1.5 million barrels in the

week through Oct. 25, traders said, citing data from market

intelligence firm Genscape.

The American Petroleum Institute releases industry data

later on Tuesday, while the U.S. government's Energy Information

Administration releases inventory data on Wednesday. API/S

The United States Trade Representative is studying whether

to extend tariff suspensions on $34 billion of Chinese goods set

to expire on Dec. 28 this year, the agency said on Monday.

U.S. President Donald Trump said earlier on Monday he

expected to sign a significant part of the trade deal with China

ahead of schedule but did not elaborate on the timing.

Leaders of the world's two biggest economies are working to

agree on the text for a "Phase 1" trade agreement announced by

Trump on Oct. 11. Trump has said he hopes to sign the deal with

China's President Xi Jinping next month at a summit in Chile.

The trade war has hit economic growth around the world and

kept oil prices rangebound for months.

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