The oil prices continue to fall, and the main reason is the concern about China’s demand. It is not impossible that the price falls below 30 dollars a barrel Tuesday, think oil analyst Thina Saltvedt.
Tuesday morning was a barrel of North Sea oil traded at $ 30.68, which is 1.6 percent lower than Monday.
That is the situation in China which explains the fall, explains the oil analyst in Nordea Markets
.- China has been the major driver of demand since 2003. They need more energy. When you see that it gets unease about the growth in China, then one gets concerned. What one is afraid of, is that there is something more fundamentally as a reason that may weaken the growth. Industry goes weaker, so they are afraid that a housing bubble or the credit bubble may rupture, says Saltvedt to the news agency NTB.
Source: NTB scanpix/ Norway Today