Oil prices fall as market eyes trade war

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Oil prices fell on Tuesday as the ongoing U.S.-China trade war cast a pall over markets, with soft South Korean data adding to concerns over emerging markets and a rise in OPEC output.

U.S. crude CLc1 was down 26 cents, or 0.5 per cent, at 54.84 dollars a barrel by 0644 GMT, while Brent LCOc1 was down 6 cents at 58.60 dollars a barrel.

A move on Sunday by Argentina to impose capital controls is also casting a spotlight on emerging market risks. Output from the OPEC rose in August for the first month this year as higher supply from Iraq and Nigeria outweighed restraint by top Saudi Arabia and losses caused by U.S. sanctions on Iran.OPEC, Russia and other non-members, known as OPEC+, agreed in December to reduce supply by 1.2 million bpd from Jan. 1 this year.

Russian oil production C-RU-OUT in August rose to 11.294 million barrels per day , topping the rate Moscow has pledged to cap output at under a pact with other producers and hitting its highest since March, data showed on Monday.

 

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