Oil prices ease amid weak Chinese manufacturing activityApril 23, 2013 - 09:37 AMT PanARMENIAN.Net - Oil prices eased in Asia on Tuesday, April 23 as data showing weak Chinese manufacturing activity fuelled concerns over demand in the world's second-largest economy, analysts said, according to AFP. New York's main contract, light sweet crude for delivery in June dropped 43 cents to $88.76 a barrel on its first day of trade, while Brent North Sea crude for June shed 34 cents to $100.05 in mid-morning trade. "Chinese growth is definitely slower and people are pricing that in," Kelly Teoh, market strategist at IG Markets in Singapore, said. Banking giant HSBC said that according to preliminary data manufacturing activity in China slowed in April due to sluggish foreign demand. Its initial purchasing managers' index (PMI) for the month came in at 50.5, from a final 51.6 in March. A reading above 50 indicates growth and anything below points to contraction. The final result will be announced on May 2. "New export orders contracted after a temporary rebound in March, suggesting external demand ... remains weak," Qu Hongbin, a Hong Kong-based economist with HSBC, said in a release. The result comes just over a week after official data showed the economy grew 7.7 percent in the January-March quarter, slower than the 7.9 percent in the previous three months and below the 8.0 forecast. "Traders are reading the Chinese PMI data in line with last week's GDP (gross domestic product) figures, giving oil some pressure on the downside," David Lennox, resource analyst at Fat Prophets in Sydney, told AFP. "There are also concerns over oil demand, as strong growth in China was expected to offset a weaker demand in the United States and Europe." China is the world's biggest energy-consuming nation and the health of its economy is closely watched by oil traders. 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. |