While a decrease of more than 10 percent was recorded in oil this week, the lowest levels of 6 weeks were tested as a level.
Oil registers a limited premium on the last trading day of the week, with pricing on the impact of the global economic slowdown on demand.
While U.S. crude oil saw below $ 89, Brent oil tested below $ 94.
U.S. crude oil lost more than 10 percent this week.
Official data showed U.S. gasoline consumption was easing as crude stockpiles rose. The decline came despite Saudi Arabia raising prices and OPEC+’s limited production increase.
After the rise in the first five months of the year, the oil rally was reversed with deepening losses this month after the declines in June and July. The sale, which wiped out gains triggered by Russia’s invasion of Ukraine, will ease inflationary pressures on the global economy that have spurred central banks, including the Fed, to raise interest rates.
“The market is still struggling after the deteriorating demand picture in the U.S. as the pressure on refining capacity has decreased significantly,” said Stephen Innes, Managing Partner of SPI Asset Management.
The move to a much tighter monetary policy has raised concerns among investors that growth will slow in significant economies and jeopardize the energy consumption outlook. On Thursday, the Bank of England made the steepest rate hike in 27 years while predicting a recession.
