TOKYO- Oil prices slid on Wednesday as concerns grew that US fuel demand may not recover quickly amid stalled talks on a post-coronavirus economic stimulus package, overshadowing a bigger-than-expected drawdown in US crude stocks.
With investors keeping one eye on a key producer countries’ ministerial meeting later in the day, Brent crude futures fell 38 cents, or 0.8 percent, to $45.08 a barrel, having edged up 9 cents on Tuesday.
US West Texas Intermediate (WTI) crude futures was down 25 cents, or 0.6 percent, at $42.64 a barrel, having ended unchanged the previous day.
“Demand concerns weighed on oil prices, with US economic stimulus still nowhere in sight and US-Sino trade talks being postponed,” said Hiroyuki Kikukawa, general manager of research at Nissan Securities.
US President Donald Trump on Tuesday said he postponed trade talks with China, adding that he does not want to talk to China right now.