(RTTNews) - The price of crude oil moved down Tuesday morning amid concerns over demand growth after China, the world's second-largest oil consumer, reported a slower third quarter economic growth.
China's gross domestic product rose 9.1 percent from a year earlier easing from a 9.5 percent gain in previous quarter and slightly below the median forecast of 9.2 percent.
Light Sweet Crude Oil (WTI) futures for November delivery, eased $0.21 to $86.17 a barrel. Yesterday, oil ended lower amid profit taking and demand concerns after downbeat comments from German Chancellor. Angela Merkel Monday warned against hoping that all of Europe's debt woes would be resolved at a crucial EU summit on October 23.
This morning, the U.S. dollar continued to pare recent losses versus the euro and the Swiss franc, while trading flat against sterling. The buck was easing versus the yen.
In economic news from the euro zone, U.K. annual inflation accelerated more than expected in September, data from the Office for National Statistics showed. Consumer price inflation rose to 5.2 percent from 4.5 percent in August. It also remained above the 4.9 percent consensus forecast.
Elsewhere, confidence among German investors dropped to its weakest level in nearly three years in October. The German economic sentiment index fell to -48.3 from -43.3 in September, the ZEW Center for European Economic Research said. The score was well below the consensus forecast of -45.
Traders will look to the U.S. Labor Department's report on producer price inflation. Economists expect the headline index to show a 0.3 percent increase for September, while the core producer price index is expected to have risen by a more modest 0.1 percent.
Later during the session, the National Association of Home Builders will release the results of its October survey on homebuilders' confidence. The consensus estimates call for an increase in the index to 15 from 14 in September.
Today after the markets close, the API will release its U.S. crude oil inventories report for the weekended October 07. Analysts expect crude oil inventories pile up by 1.75 million barrels last week.
