Oil becomes cheaper on fears over the Outlook for the global economy

© AP Photo / David ZalubowskiДобыча oil. Archival photoOil becomes cheaper on fears over the Outlook for the global economy© AP Photo / David Zalubowski

World oil prices decline on Monday amid concerns of investors about slowing global economic growth in light of uncertainty in China and problems in Turkey, according to the auction.

As at 8.31 GMT the cost of October futures for North sea petroleum mix of mark Brent has decreased on 0,31%, to 71,61 per barrel, the September futures for WTI — by 0.4% to 64.95 USD per barrel.

Bidders fear that the trade conflict between Washington and Beijing begin to exert some pressure on China’s economy. So, last week published the official statistical data, according to which retail sales in the country in July slowed growth rates in annual terms to 8.8% from 9% in June, while analysts expected a rise of 9.2%. Industrial production in China increased in July in annual terms by 6%, while experts expect an acceleration to 6.3%.

In addition, investors concerned about the economic situation in Turkey. In August, US President, Donald trump declared that sanctioned the raising by half of import duties on aluminium and steel from Turkey — up to 20% and 50% respectively. This caused the collapse of the Turkish Lira to a historic low. After this the international rating Agency S&P downgraded long-term sovereign foreign currency rating of Turkey to «B+» from «BB-«.

Oil becomes cheaper on fears over the Outlook for the global economy© Infographicsrussia forces in the world oil market

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