Oil prices down as Asia slows

China

BEIJING, November 11, 2015 – Crude oil prices fell on Wednesday after industry data signalled growth in US stockpiles, while China’s industrial output slowed and doubts surfaced surrounding a Japanese economic recession added to demand concerns.

Brent crude futures were down $0.29 to $47.15 per barrel, while US crude futures tumbled to a fortnight low at $43.55 per barrel in early trading, before climbing to $43.72 per barrel by 6:52 am, GMT.

Data from the American Petroleum Institute showed Tuesday that US crude oil stocks had increased by 6.3 million barrels in the week ending November 6, 2015, to 486.1 million barrels. This contrasts with prior analyst expectations of a 1-million-barrel surge.

China’s factory output growth was slower than expected at an annual 5.6 percent in October, with oil demand only increasing by 0.9 percent from a year earlier to 10.14 million barrels per day, according to Reuters.

Meanwhile, a Reuters poll revealed the confidence of Japan’s manufacturers fell in November for the third month in a row, reflecting concerns that a China-led slowdown may have driven Asia’s second-largest economy towards recession.

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