Oil prices fell on Monday on worries that widening coronavirus lockdowns in Europe would weaken fuel demand while concerns remain over potential turbulence resulting from this week’s US presidential election. “The number of lockdowns - and the oil demand the countries that imposed them account for - will lead to some demand destruction, depressing balances and putting further strain on the already fragile market,” said Rystad Energy analyst Paola Rodriguez-Masiu. Vitol sees winter demand at 96 million barrels per day (bpd) while Trafigura expects demand to fall to 92 million bpd or below. A tighter race in the lead up to the US election on Tuesday and electoral uncertainty also prompted investor caution in global markets. Meanwhile, Organisation of the Petroleum Exporting Countries (OPEC) oil output rose for a fourth month in October, a Reuters’ survey found.

Source: The Express Tribune November 02, 2020 12:00 UTC