September Nymex WTI futures are trading in negative territory Monday in tandem with a general risk-off theme observed across Asian markets this morning. WTI had ended Friday’s session 1.2% lower at $91.83 a barrel. Prices have slipped back this morning amid concerns that the Chinese economy may be slowing, after Chinese central bank adviser Song Guoqing said that economic growth in China, the world’s second largest oil consumer, may slow to 7.4% this quarter. Song, who is an academic member of the People’s Bank of China monetary policy committee, made the comments at a forum in Beijing on Saturday. WTI prices opened in Asia around 20 cents lower at $91.63 but prices quickly fell away amid a general sour risk tone across Asian markets, also not helped by the news reported in Sunday’s German weekly Der Spiegel that the International Monetary Fund (IMF) had signalled that it will not contribute to further financial aid for Greece, raising a greater risk of insolvency in September. WTI prices retreated to session lows of $90.27 and are now currently trading $90.32 a barrel, down $1.51.
EasyForexNews Research Team