ALBAWABA - Oil prices fell significantly on Friday, recording the lowest level since January 2024. This decline is marked by the US slow job growth, in addition to some Chinese economic data that managed to change the overall prices.
Oil and crude drops
Brent crude futures dropped $2.71, nearly (3.41%) and priced at $76.81 a barrel, while US West Texas Intermediate (WTI) crude futures fell $2.79 nearly (3.66%) and priced at $73.52. Both crudes declined by more than $3 per barrel during the trading session.
US job growth slows
Crude prices continue declining as US job growth slowed more in July and the unemployment rate boosted to 4.3%, hinting for a possible recession.
Oil prices fell significantly on Friday, recording the lowest level since January 2024. (Shutterstock)
On the other hand, China, the world's largest oil importer, released some economic data that showed weak manufacturing activity over the last month in the US, Europe, and Asia. The data highlighted potential risks for a weak global economic recovery and oil consumption pressures.
A meeting concluded by OPEC+ countries took place on Thursday. As a conclusion, current oil production policy will remain in effect, including the decision of gradually reducing production cuts in October 2024.
Middle East conflict
Experts are concerned by the conflicts and developments in the Middle East, as Hezbollah in Lebanon wants to escalate the recent conflict with Israel. The former is supported by Iran and crude prices are certain to be impacted.
