Oil falls on fears of weak demand but efforts to reduce production support prices

SINGAPORE (Reuters) – Oil prices fell on Tuesday, reinforcing the impact of the limited gains from the previous session, expectations of a slowdown in demand thwarting hopes of leading producers to support rising prices. reducing oil production.

Brent crude futures lost 48 cents, or 0.8%, to $ 58.09 per barrel at 6:43 GMT.

West Texas Intermediate (WTI) crude futures prices in the United States fell 41 cents, or 0.8%, from the previous settlement, to $ 54.52 per barrel.

Saudi Arabia, the largest oil producer of the Organization of the Petroleum Exporting Countries (OPEC), announced last weekend its intention to keep its crude oil exports below 7 million barrels a day. August and September to help unload global oil stocks.

Analysts expect the kingdom to keep its prices ahead of Saudi Aramco's plans, which could be the world's largest public call for savings.

OPEC and its allies, or the group known as OPEC +, have agreed to cut their oil output by 1.2 million barrels per day since 1 January.

However, a significant increase in shale oil production in the United States continues to dampen efforts to reduce the glut of global supply, negatively affecting prices.

Oil prices have also fallen on gloomy prospects for the global economy and growing demand for oil as the trade dispute between the US and China intensifies.

(Reuters)