WTI crude futures extended losses to nearly 5% to below $67 per barrel on Monday, the lowest in over five weeks, as concerns about weakening demand in top consumer China and rising Russian crude supply outweighed Saudi Arabia’s plans to slash output. Russian oil exports to China and India rose to record levels in May even after the implementation of the European Union’s embargo and the Group of Seven’s price cap mechanism that started in early December. On the other hand, Saudi Arabia, the world’s largest oil exporter, announced earlier this month its intention to reduce output by 1 million barrels per day to 9 million bpd in July, the lowest level in years amid an effort to bolster crude prices. Meanwhile, investors are cautious ahead of a busy week ahead with the US inflation rate and interest rate decisions from the Federal Reserve, the ECB and the BoJ.
