Brent and NYMEX slump in Asia
On Friday, crude prices headed south during Asia trade, though retraced earlier losses because Chinese GDP was better than expected, thus driving sentiment on demand. Moreover, retail sales also demonstrated strength.
In New York, August delivery crude futures dipped 0.9%, being worth $45.27 per barrel. September delivery Brent oil futures tumbled 0.89%, trading at $46.95 per barrel.
GDP figures out of China revealed a 6.7% revenue for the second quarter concluding June year-on-year period, thus beating the 6.6% surge observed and also soared 1.8% quarter-on-quarter. Undoubtedly, it has exceeded the expected surge of 1.6%.
Apart from that, in China fixed asset investment edged up 9%, which is less than the 9,4% year-on-year revenue observed in June, while industrial output earned 6.2%, which is better than 5.9% observed during the same period, while retail sales soared 10.6%.
Overnight, oil futures bounced off close to two-month minimums amid massive short covering on Thursday, even as traders expressed great concerns on a global crude as well as gasoline oversupply in the wake of a bearish American stockpile report from the previous trading session.