Oil prices steady after weekly decline on demand, M.East tensions focused by Investing.com
Investing.com– Oil prices were firm in Asian trading on Monday after heavy losses last week, as traders remained focused on demand and supply disruptions in the Middle East.
Prices fell more than 7% last week after signs of a slowdown in China's high-quality oil stimulus emerged, while concerns over China also saw OPEC and the IEA cut their forecasts.
Oil prices were also hit by the prospect of a slight escalation in the Middle East war, as reports say Israel will not attack Iran's oil or nuclear facilities. But Israel is still preparing to retaliate for the early October strike, while the war with Hamas and Hezbollah continues.
Crude oil for December delivery was up 0.2% at $73.21 a barrel, while it was up 0.3% at $68.90 a barrel at 21:33 ET (01:33 GMT).
Oil nurses more than a weekly loss of 7%.
Oil prices had their worst week since early September, as concerns about slowing demand, particularly from exporter China, weighed on.
China announced its most targeted stimulus measures last month. But the measures have inspired confidence among traders, as Beijing has not provided details on the scale and timing of the planned measures.
The People's Bank of China cut its benchmark more than expected on Monday, although the move appeared to give little confidence to markets.
Friday's data showed China's economy grew at its slowest pace since the start of 2023 in the third quarter, keeping concerns about declining demand in play.
Conflicts in the Middle East continue
The conflict in the Middle East remained focused, intensifying over the weekend as Israel continued to attack Hamas and Hezbollah, in Gaza and Lebanon, respectively.
Israel also said it was planning to attack areas in Beirut linked to Hezbollah's finances.
The Israel-Hamas war, which hit one year in early October, has been the main driver of oil prices, with traders attaching or removing a risk premium to prices based on the state of the conflict.
US efforts to broker an armistice have so far had few results.
