Gasoline Approaches Year-to-Date Low
2024-09-02 12:58
By
Andre Joaquim
1 min. read
US gasoline futures fell to below $2 per gallon in September, the lowest since early January, as signs of increasingly low fuel demand in major consumers added to pressure from elevated supply.
Data from China’s NBS showed that factory activity in the country sank at the sharpest pace this year, extending concerns that the lack of stimulus by Beijing will result in a greater decline in demand for energy-intensive industrial goods.
This was aligned with earnings data from major Chinese oil producers and refiners suggesting that lower fuel demand drove Sinopec, PetroChina, and CNOOC to pare their returns.
Despite growing signs of lower fuel demand, OPEC decided to maintain the gradual reduction of output cuts next month, furthering the downturn in prices.