04.12.202312:02:00UTC+00Supply Cut Uncertainty And Demand Fears Drag Down Crude Oil Prices

Crude oil prices extended losses on Monday as uncertainty about the voluntary supply cuts by OPEC+ members announced last week weighed on sentiment. Concerns about global demand also weighed on sentiment.

A firm Dollar ahead of the release of jobs data from the U.S. and inflation data from China also supported the downtick in crude oil prices. Additions to non-farm payrolls in the U.S. in the month of November is seen rising to 180 thousand, from 150 thousand a month earlier, potentially increasing the headroom available to the Fed to keep interest rates high. Markets also expect the deflationary situation in China to remain steady, weighing on demand concerns.

Brent Oil Futures for February settlement is currently trading at $78.32, having slipped 0.71 percent from the previous close of $78.88. The day's trading ranged between $77.67 and $79.73, versus the 52-week trading that ranged between $70.06 and $97.69.

West Texas Intermediate Crude Oil Futures for January settlement also dropped 0.76 percent from the previous close of $74.07 to trade at $73.51. Prices ranged between a high of $75.03 and a low of $72.88. The 52-week trading range was between $63.64 and $95.03.