Oil below $95 amid slowing China's economyMay 14, 2012 - 13:08 AMT PanARMENIAN.Net - Oil prices fell below $95 a barrel Monday in Asia amid investor concern that China's economy, the world's second-largest, is slowing faster than previously expected, The Associated Press reports. Benchmark oil was down $1.33 to $94.80 a barrel in electronic trading on the New York Mercantile Exchange. The contract fell 95 cents to settle at $96.13 in New York on Friday. Brent crude was down 86 cents at $111.40 per barrel in London. Traders brushed off China's announcement Saturday that it plans to cut its bank reserve requirement by 0.5 percentage points. The move, the third reserve ratio cut since November, is designed to boost lending and spark economic growth. However, investors are worried by signs that China's economy is faltering. The government said Friday that industrial production growth in April slowed and electricity output was little changed. Investors are also eyeing political turmoil in Greece, where political parties have been unable to form a government after elections earlier this month. Some analysts say the recent oil price slump - crude is down more than 10 percent from earlier this month - isn't being driven by global supply and demand fundamentals, but rather the old market adage about selling assets at the beginning of the summer months. "There's little to the latest price action than the increasingly self-fulfilling prophecy of 'sell it in May and go away', with broader macroeconomic concerns used as a lightening rod," Barclays said in a report. "U.S. oil demand is improving while Asian demand remains robust." In other energy trading, heating oil was steady at $2.96 per gallon and gasoline futures were little changed at $3.00 per gallon. Natural gas fell 1.6 cents at $2.49 per 1,000 cubic feet. Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | Titus, Bilirakis lead legislation to sanction Azerbaijani war criminals Representatives Dina Titus (D-NV) and Gus Bilirakis (R-FL) have introduced the bipartisan legislation. Azerbaijan must respect human rights, Scholz tells Aliyev German Chancellor Olaf Scholz has called for greater respect for human rights in Azerbaijan. Armenia: Defense Ministry warns against involving army in political processes The Ministry’s statement came after a video surfaced online, showing soldiers joining the protests in Tavush. Scholz hopes Armenia-Azerbaijan peace treaty will be signed this year German Chancellor Olaf Scholz hopes that a peace treaty between Armenia and Azerbaijan will be signed this year. |