2023.10.3119:25:00UTC+00Oil Futures End Notably Lower, Shed Nearly 11% In Month

Oil prices dropped on Tuesday, and posted a monthly loss as well, as concerns about the outlook for energy demand weighed on the commodity.

Disappointing manufacturing activity from China raised concerns about the outlook for fuel demand.

A stronger dollar and a report from U.S. Energy Information Administration (EIA) that showed crude oil production in the U.S. climbed to a record 13.05 million barrels per day in August hurt oil prices.

Meanwhile, crude output from the Organization of the Petroleum Exporting Countries increased by 180,000 barrels per day in October, a Reuters survey said.

West Texas Intermediate crude oil futures for December ended down $1.29 or about 1.6% at 81.02 a barrel, the lowest settlement in two months.

WTI crude futures shed nearly 11% in the month of October.

Brent crude futures settled at $87.41 a barrel, down marginally. Brent futures January contract declined $1.33 or about 1.4% to $85.02 a barrel.

Traders now await weekly oil reports from the American Petroleum Institute (API) and EIA. The API report is due later today, while the EIA inventory data is due Wednesday morning.