WTI crude oil futures fell more than 2%, dropping to $ 89 today, amid concerns that the acceleration of interest rate hikes by the Federal Reserve (Fed) and central banks around the world. it will lead the economy to face a recession and affect the demand for oil
Oil prices were also driven by the appreciation of the dollar. This will reduce the attractiveness of the contract. making oil contracts more expensive for holders of other currencies.
As of 5:58 pm Thai time, the West Texas Intermediate (WTI) crude oil contract was delivered in November. It traded on the NYMEX minus $ 2.19, or 2.40 percent, at $ 88.94 a barrel.
Jamie Dimon, chief executive of JPMorgan Chase, said the US and global economies are likely to enter recession in the middle of next year. He was influenced by the rise in inflation, by the rise in interest rates. and the Russian military invasion of Ukraine
The International Monetary Fund (IMF) will publish its World Economic Outlook report today, with plans to cut its forecast for global growth in 2023 due to fears over inflation and spread. Outbreak of Covid-19, war between Russia and Ukraine and the impact of global warming on the economy of all continents
Earlier in the release of the global economic outlook report in July. The IMF lowered its global economic growth forecast for 2022 and 2023 to 3.2% and 2.9%, respectively.
Ms Christalina Georgiava, IMF Director General and World Bank President David Malpass. The global economy is more vulnerable to a recession next year warned him. As inflation continues to affect the economy After Russia deployed troops to attack Ukraine in February.
Ms Georgiava said the IMF will emphasize at this week’s meeting that central banks will continue their efforts to curb inflation. Although such actions will affect the economy.
“If they act insufficiently, we will face problems due to uncontrollable inflation. This will cause the central bank to raise interest rates further. and will have a strong impact on economic growth ”.
Ms. Georgiawa said.
Furthermore, investors are concerned about this Chinese economic slowdown which is the largest oil importer in the world.And being the second largest oil consumer in the world after the United States will affect the demand for oil in the market.
China’s services sector contracted in September for the first time in four months, hit by stringent measures to curb the spread of COVID-19, hurting business demand and confidence.
Investors will be keeping an eye on the American Petroleum Institute (API) release of US crude stocks tomorrow. The US government’s Energy Information Administration (EIA) will be released on Thursday.
by InfoQuest News Agency (11 October 65)
tag: WTI, Kristalina Georgiava, raw oil, oil price, crude oil contract, Jamie Diamond, David Malpass
