Oil Ends Down Again; Global Glut Offsets US Output Drop

U.S. crude settled down 2 cents at $46.64.

Weakness in the gasoline crack <CL-RB1=R>, the profit refiners get for turning crude into gasoline, weighed on the oil complex, said Jim Ritterbusch of Chicago-based oil markets consultancy Ritterbusch & Associates.

The crack has lost a third of its value, nearly $4 a barrel, in just two weeks.

"We see some renewed selling as this week proceeds," Ritterbusch said.

Weaker energy demand projected for China, the world's second largest economy, was also pressuring crude prices, analysts said. China's third-quarter growth is expected at below 7 percent the first time since the 2007-2009 financial crisis.

OPEC trimmed its 2016 world oil demand growth estimate by 40,000 bpd to 1.25 million bpd, citing slower Chinese growth.

The International Energy Agency said oil would remain oversupplied in 2016.


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