Crude oil prices have dropped to their lowest in two months, driven by concerns over a potential decrease in global demand, with anxieties heightened by recent developments in China.
Brent crude, the international oil benchmark, experienced a decline of up to 2.3 percent today, reaching around $83. This drop came in the wake of new data indicating a sharper-than-expected fall in China’s exports for October.
The latest figures from the General Administration of Customs show that exports from China, which is the world’s second-largest economy and a significant contributor to global growth, plummeted by 6.4 percent last month. This significant downturn has been attributed to weakening global demand coupled with a slow domestic recovery.
Additionally, oil prices have been influenced by remarks from a U.S. Federal Reserve official who suggested that the battle against inflation is not yet won.
Neel Kashkari, President of the Minneapolis Federal Reserve, expressed a preference for an over-tightening of monetary policy rather than the risk of underdoing it.
Despite supply reductions by major oil producers like Saudi Arabia and Russia and ongoing conflicts such as the one between Israel and Hamas, oil prices have continued to fall in recent weeks. These price movements reflect growing concerns about the state of the global economy.
