Oil contracts extend losses and US crude drops by more than 5% to $ 54.15

Oil prices fell yesterday due to weak economic data in China and Europe and rising US inventories, which almost wipes out the gains made in the previous session after the US announced that They would defer tariffs on certain Chinese products.

During trading, Brent crude dropped $ 2.08, or 3.4%, to $ 59.22 a barrel, after rising 4.7% the day before yesterday, posting the largest gain as a daily percentage since December.

West Texas Intermediate (WTI) crude futures prices fell more than 5% to $ 54.15 a barrel after a 4% increase in the previous session, the largest increase since more than A month.

China announced a surprisingly weak data set for July, including a sharp drop in industrial production growth, which hit its lowest level in more than 17 years, highlighting growing economic weaknesses as trade United States is stepping up.

The global slowdown, fueled by tariff-related litigation and the uncertainty surrounding the secession of Britain from the European Union, is also putting pressure on the European economies. According to economic data, the decline in exports led to a contraction in the German economy in the second quarter.

Euro area GDP increased slightly in the second quarter of 2019.

Analysts said profit-taking after yesterday's sharp rally in oil also weighed on crude prices.

Crude oil prices rose yesterday after US President Donald Trump dropped the Sept. 1 deadline to impose 10% tariffs on some products, affecting nearly half of the company's target. 300 billion dollars set by China.

Data from the American Petroleum Institute showed that crude oil inventories in the United States had unexpectedly increased last week.

The Institute of Petroleum: Crude inventories rose 3.7 million barrels to 443 million barrels, while badysts forecast a drop of 2.8 million barrels.