Oil Prices Drop As Gaza Ceasefire Talks Progress, China Releases Weak Economic Data
Portfolio Pulse from Piero Cingari
Oil prices dropped as Gaza ceasefire talks progressed and China released weak economic data. The United States Oil Fund (NYSE:USO) saw a sharp decline as WTI light crude futures fell 3% below $76 per barrel. China's economic data showed slowing industrial production and rising unemployment, adding pressure to oil prices.
August 16, 2024 | 1:14 pm
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The United States Oil Fund (NYSE:USO) experienced a sharp decline as oil prices dropped due to progress in Gaza ceasefire talks and weak economic data from China.
The progress in Gaza ceasefire talks reduces geopolitical risk, which typically supports oil prices. Additionally, weak economic data from China, a major oil consumer, suggests lower future demand for oil. Both factors contribute to the decline in oil prices, directly impacting USO.
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