Oil dips in Asia on slowdown of Chinese industrial production, strengthening greenback

12-Mar-13

New York’s main contract, light sweet crude for delivery in April, dipped to US$91.69 a barrel while Brent North Sea crude for April dipped to US$110.4. Chinese energy demand has a major impact on oil futures prices. Hence, oil prices in Asia dipped as Chinese industrial production showed signs of a slowdown, even as a strong US dollar exerted pressure on prices. Official data shows China’s inflation hit a 10 month high in February. Industrial output, which reflects production at China’s factories, workshops and mines, rose 9.9% year-on-year over the first two months of 2013 compared with 11.4% in the same period of 2012.