Oil prices changed their upward trajectory in trading today, Tuesday, to decline amid fears of a slowdown in economic activity Decreased demand for fuel from China In light of its adherence to its strict policy to contain the Corona virus known as “Zero Covid”.
Brent crude futures fell 41 cents, or 0.45%, to $91.21 a barrel by 09:48 GMT, while US West Texas Intermediate crude futures fell 41 cents, or 0.48%, to $85.05 a barrel.
US crude rose more than 1% earlier due to a weak dollar, which makes oil cheaper for buyers of other currencies.
However, the dollar index, which measures the US currency against six major currencies, including the pound sterling, rose later in the session, which affected oil prices in early European trading.
Investors are also focused on the Bank of England’s plan to start selling its massive holdings of government bonds it raised during the coronavirus crisis. This has resulted in higher long-term returns, indicating increased risks to financial stability.
As for supply, a preliminary poll by Archyde.com showed on Monday that US crude oil inventories are expected to rise for the second week in a row, and it is estimated that they increased by 1.6 million barrels in the week ending October 14.