WASHINGTON (dpa-AFX) - Oil prices fell sharply on Monday, weighed down by another downward revision in demand forecast by OPEC, and concerns about demand from China.
China's weekend stimulus announcement contained no timetable, no amount, no details of how the money will be spent.
China's finance ministry flagged more fiscal stimulus over the weekend but left out key details on the overall size of the package.
Minister of Finance Lan Foan pledged to 'significantly increase' debt, offer subsidies to people with low incomes, support the property market and replenish state banks' capital, among other measures.
China's consumer inflation unexpectedly eased in September, while producer price deflation deepened, underscoring the need for further policy support to revive falling housing sales and other spending.
Also, new data showed China's exports and imports grew far less than expected in September.
West Texas Intermediate Crude oil futures ended down $1.73 or about 2.29% at $73.83 a barrel.
Brent crude futures settled at $77.46 a barrel, down $1.58 or about 2%.
OPEC said in its report that it expects oil demand will grow by 1.9 million barrels per day in 2024, down from 2 million bpd in its previous forecast. The group expects oil demand to grow by 1.6 million barrels per day in 2025, compared with an earlier forecast of 1.7 million bpd.
Traders continued to follow the developments in the Middle East. According to reports, Israel has narrowed down the targets it plans to hit.
A Hezbollah drone reportedly hoodwinked Israel's much-vaunted Iron Dome air-defense system late on Sunday and killed four soldiers and injured 60 others.
An Israeli air attack on tents for displaced Palestinians inside a hospital complex in Gaza in the early hours today has killed at least four people and wounded at least 70.
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