{"id":1094,"date":"2022-08-16T16:45:30","date_gmt":"2022-08-16T16:45:30","guid":{"rendered":"http:\/\/roydadnaft.ir\/English\/?p=1094"},"modified":"2022-08-16T16:45:33","modified_gmt":"2022-08-16T16:45:33","slug":"oil-falls-on-economic-data-awaits-news-of-iran-nuclear-deal","status":"publish","type":"post","link":"https:\/\/roydadnaft.ir\/English\/1094\/","title":{"rendered":"Oil falls on economic data, awaits news of Iran nuclear deal"},"content":{"rendered":"
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Oil prices fell over 1% on Tuesday in volatile trading as economic data spurred concerns about a potential global recession, while the market awaited clarity on talks to revive a deal that could allow more Iranian oil exports.<\/p>\n\n\n\n

Brent crude futures fell $1.41, or 1.5%, to $93.69 a barrel, after hitting a session high of $95.95. West Texas Intermediate crude (WTI) decreased $1.33, or 1.5%, to $88.08 a barrel, after rising to $90.65.<\/p>\n\n\n\n

The contracts fell about 3% in their previous sessions.<\/p>\n\n\n\n

The European Union is assessing Iran’s response to what the bloc has called its “final” proposal to save a 2015 nuclear deal, and consulting with the United States, an EU spokesperson said on Tuesday.\u00a0<\/p>\n\n\n\n

Iran responded to the proposal late on Monday but neither Tehran nor the EU provided any details on the content of the reply.<\/p>\n\n\n\n

“It is still unclear what Iran has told the European Union last night, so some tricky items might impact the outcome of the nuclear deal,” UBS analyst Giovanni Staunovo said.<\/p>\n\n\n\n

Weak economic indicators weighed on prices.<\/p>\n\n\n\n

U.S. homebuilding fell to the lowest level in nearly 1-1\/2 years in July, weighed down by higher mortgage rates and prices for construction materials, suggesting the housing market could contract further in the third quarter.<\/p>\n\n\n\n

“Oil traders reacted because of concerns about an economic slowdown and housing uses energy,” said Phil Flynn, an analyst at Price Futures group. “That caught us by surprise.”<\/p>\n\n\n\n

China’s central bank cut lending rates to try to revive demand as the nation’s economy slowed unexpectedly in July after Beijing’s zero-COVID policy and a property crisis slowed factory and retail activity.\u00a0<\/p>\n\n\n\n

State media quoted Premier Li Keqiang as saying that China will reasonably step up macro policy support for the economy.\u00a0<\/p>\n\n\n\n

Barclays lowered its Brent price forecasts by $8 per barrel for this year and next, as it expects a large surplus of crude oil over the near-term due to “resilient” Russian supplies.\u00a0<\/p>\n\n\n\n

Market participants awaited industry data on U.S. oil inventories expected later on Tuesday. Crude and gasoline stockpiles likely fell last week, while distillate inventories rose, a preliminary Reuters poll showed on Monday.<\/p>\n

Updated on