Oil prices lost further ground in early trade on a stronger dollar and pessimism over Chinese demand growth.

Brent crude traded 1.4% lower to $72.86 a barrel, while WTI fell 1.6% to $69.26 a barrel.

The dollar was up 0.4% against a basket of major currencies ahead of key inflation data later this week, making oil cheaper. Prices are also pressured by growing concerns over demand trends in China after the top crude importer didn’t announce new stimulus measures, as well as easing supply risks in the U.S.

Meanwhile, “a Trump presidency is seen as relatively more bearish for energy markets,” ING analysts said in a note. “However, the key risk to this view is if President Trump chooses to strictly enforce sanctions against Iran.”

By Giulia Petroni, Dow Jones Newswires / Nov 11, 2024