Oil prices tumble, record 4% weekly loss

Oil drilling rigs

Oil prices deepened their losses on Friday after the International Energy Agency forecasted a supply surplus exceeding one million barrels per day in 2025, amid concerns about demand from China.

Brent crude futures for January delivery dropped 2.1%, or $1.52, to settle at $71.04 a barrel, with a weekly loss of 3.85%.

Similarly, New York Mercantile Exchange (NYMEX) futures for December delivery decreased 2.45%, or $1.68, to $67.02 per barrel, losing 4.75% during the week.

Fatih Birol, Executive Director of the International Energy Agency, said at the COP29 summit that global oil demand is getting weaker, driven by the slowing Chinese economic growth and the increasing penetration of electric cars around the world.

Refinery production in China declined for the seventh consecutive month, falling 4.6% YoY in October to 59.54 million metric tons of crude oil, equivalent to 14.02 million barrels per day, official data showed.

The US drilling rig count dropped one unit to 478 in the week ended Nov. 15, Baker Hughes energy services firm said in its closely followed report on Friday. This is the lowest level for the US rig count since July 19 (477).