Sector Update: Crude Oil Futures Decline on Further Signs of Weakening Demand in China
Crude futures declined on more signs that China's economy is slowing, which could curb global demand for oil.
China's industrial activity increased 6.9% in August from the same month a year earlier, down from 9% in July, according to the National Bureau of Statistics. Weak global demand and pressure on the country's housing market were to blame, according to the agency.
With slower growth in China, the world's second-biggest consumer of crude behind only the U.S., world demand for oil may decline. RBS cut its forecast for Chinese gross domestic product growth for 2014 to 7.2% from a prior estimate of 7.6%. Beijing's official target for GDP growth this year is 7.5%.
West Texas Intermediate crude oil futures for October delivery fell 0.7% to $91.63 a barrel in New York.
Brent crude futures for October delivery declined 0.4% to $96.73 a barrel.
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