The price of oil futures fell by about 0.8%, continuing yesterday's decline caused by the results of the US presidential election and the rally of the US currency. Today, data from China put pressure on prices, but the risks of a reduction in oil production in the United States due to Hurricane Rafael limited the decline.
The General Administration of Customs said that in October, crude oil imports to China fell by 9% per annum, recording the sixth consecutive monthly decline and highlighting soft consumption in the largest buyer. Imports contracted to 44.7 million tons. That’s about 2% lower than September, and almost 9% below the same period last year.
Traders also weighed the implications of Donald Trump's election victory and potential supply rises from OPEC+. Experts said that historically, Trump's policy has been aimed at supporting businesses, which probably supports overall economic growth and increases fuel demand, but any intervention in the Fed's easing policy could lead to further problems for the oil market. At the same time, there were risks that Trump could achieve a reduction in oil supplies from Iran and Venezuela. It is possible that Trump will resume his "maximum pressure policy" in the form of sanctions on Iranian oil exports, which may lead to a reduction in supplies by 1 million barrels per day.
Market participants also closely monitored the weather situation in the Gulf of Mexico, where about 17% of oil production, or 304,418 barrels per day, was stopped due to Hurricane Rafael.