Updated on
Summary Oil prices closed mixed on weaker energy demand and abundant supplies after recent sharp falls.
Oil prices closed mixed Thursday after recent sharp falls as investors weighed prospects of weaker energy demand and abundant supplies.Data showing manufacturing activity in China, the worlds largest energy consumer, contracted for the 11th straight month in September hit sentiment.New Yorks main contract, light sweet crude for October, dipped 11 cents to settle at $91.87 a barrel in the contracts final trading day.The benchmark West Texas Intermediate (WTI) futures contract has lost roughly $9 so far this week, including a third of it Wednesday following official data showing a surprisingly strong increase in US petroleum supplies.In London trade, Brent North Sea crude for delivery in November rose $1.84 to $110.03 a barrel.Despite the relatively unchanged oil price in New York, the WTI market remains weak after its recent price drop, said Tim Evans at Citi Futures.Evans noted that US inventories were 8.4 percent higher than a year ago, adding: Were very clearly not running out of oil.Crude demand worries were stoked after British banking giant HSBC on Thursday released data showing Chinas manufacturing sector still stuck in a rut, said Justin Harper, a strategist at IG Markets Singapore trading group.The China data has pushed down commodities after HSBCs flash PMI showed contraction for another month, he told AFP.Oil has been on the receiving end of this negativity towards the Chinese economy and more evidence of its continued slowdown. China is a major consumer of oil and any slowdown in its economy worries traders about future demand.
