Oil Down As Dollar Offsets China Move; Glut Hits Prompt US Crude
NEW YORK, Oct 23 (Reuters) - Oil fell on Friday, erasing early gains as traders dismissed a rate cut by China to focus on a surging dollar and weaker spot prices for U.S. crude as a glut weighed on prompt supplies.
A rally in U.S. stocks, however, bolstered risk appetite across financial markets, limiting the downside in oil.
Brent crude oil settled down 9 cents, or 0.2 percent, at $47.99 a barrel, after falling as much as 63 cents earlier.
U.S. West Texas Intermediate (WTI) crude finished down 78 cents, or 1.7 percent, at $44.60, after hitting a three-week low at $44.20.
Both Brent and WTI lost about 5 percent on the week, sliding for a second straight week.
Earlier on Friday, oil prices rose about 1 percent on expectations the Chinese rate cut might prompt the No. 1 energy consumer to import more oil.
Gains, however, faded as the dollar index hit two-month highs, making oil, copper and a host other commodities , less affordable for holders of other currencies.
View Full Article
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.