Oil prices fell, on Tuesday, for the second consecutive session, as the negative effects of the prospects of slowing global demand overshadowed the advantages of OPEC’s agreement with partner producers at the end of last week to increase crude production cuts in early 2020.
Brent crude futures fell 11 cents, or 0.2 percent, to $ 64.14 a barrel by 0738 GMT.
US West Texas Intermediate crude futures fell ten cents, or 0.2 percent, to $ 58.92 a barrel. The benchmarks fell 0.2 and 0.3, respectively, on Monday.
“The ecstasy (due to OPEC cuts) was short-lived and the sudden drop in China’s exports highlights the impact of the trade conflict,” ANZ Bank said in a note on Tuesday.
Sunday’s data showed China’s exports in November fell 1.1 percent, contrary to a Reuters poll forecast of a 1 percent increase.
Analysts say the move by OPEC +, which includes the Organization of Petroleum Exporting Countries (OPEC) and partner producers such as Russia, to increase production cuts to 1.7 million barrels per day from 1.2 million barrels per day currently will remain a support factor in the medium term.
But increasing production from outside OPEC threatens to harm efforts to reduce global crude supplies.
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