Tokyo — Oil prices were wobbly on Tuesday as investors grappled with demand concerns after Saudi Arabia’s sharp cuts to crude contract prices for Asia.
Demand woes were in the news again after state oil group Saudi Aramco notified customers that it will cut October official selling prices for all crude grades sold to Asia by at least $1 a barrel. “It’s quiet in Asia trade amid uncertainty over the direction of the market,” said Toshitaka Tazawa, an analyst at Fujitomi Securities. “We expect that oil prices will struggle to move higher as the US summer driving season wanes and as a weaker-than-expected US jobs report underlined slow economic activities,” he said.
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