ASX oil majors fall as oil prices extend losses
Make us a preferred source
Make us a preferred source on Google
The news: Oil majors fell on the ASX in morning trade as global oil prices extended recent declines, weighed by signs of easing tensions in the Middle East and a softening outlook for US demand on the back of elevated inflation data.
The numbers: Brent futures had fallen 66 US cents, or 0.8%, to USD81.42 ($123.17) a barrel by midday AEST, while US West Texas Intermediate (WTI) dropped 68 US cents, or 0.87%, to USD77.33. Both benchmarks fell last week, with Brent down 1.8% and WTI 2.5%, Bloomberg reported.
In the local market, Ampol (-3.6%), Beach Energy (-3.3%), Karoon Energy (-3%), Woodside Energy (-2.3%), Santos (-2.1%), and Viva Energy (-2%) were all trading lower by midday AEST. The wider energy sector was down 1.83%.
The context: Last month, crude prices reached their highest levels since October, after Iran's attack on Israel, while OPEC+ supply curbs also bolstered prices.
However, with reports that Israel will considering joining ceasefire talks with Hamas, and uncertainty over US monetary policy and softness in fuel markets, oil prices have been pushed lower.
The source: Bloomberg
