Oil Drops Amid Risk-off in Equities
Oil benchmarks fell in Asia and remain weak in early Europe amid signs of risk aversion in the Asian equities.
At the time of writing, WTI oil was down almost 1% at $38/barrel. Brent oil was down 0.67% at $40.06/barrel.
Risk aversion in Asia and a minor bout of strength in the USD weighed over prices. Japan’s Nikkei index fell almost 600 points, pulling other regional benchmarks lower with itself and leading to a negative action in the European equity futures.
Still, losses are somewhat restricted, given China’s PMI index, printed above 50.00 and pointed to a mild expansion.
(Market News Provided by FXstreet)