COM - U.S. crude oil slumps to 10-week low down 11% for the month

2023-05-31 18:30:09 ET

Energy ( NYSEARCA: XLE ) was Wednesday's biggest sector decliner, -1.7% , with U.S. crude oil tumbling nearly 2% to add to Tuesday's 4.4% drubbing, as another round of weak economic data from China added to concerns about global demand.

China's official purchasing managers index showed manufacturing in China contracted in May for the second straight month and the service sector expanding at its slowest pace in four months.

Also, U.S. data showed job openings unexpectedly rose in April, pointing to continuing strength in the labor market that could push the Federal Reserve to raise interest rates in June.

Front-month Nymex ( CL1:COM ) crude for July delivery closed -1.9% to $68.09/bbl, down 11.3% for May and the lowest finish for the front-month contract since March 20, and July Brent crude ( CO1:COM ) settled -1.2% to $72.66/bbl, ending an 8.6% loss for the month, in the worst showings this year for both benchmarks.

Nymex natural gas ( NG1:COM ) for July delivery ended -2.6% on Wednesday to $2.266/MMBtu, down 5.9% for the month.

ETFs: ( NYSEARCA: USO ), ( BNO ), ( UCO ), ( SCO ), ( DBO ), ( USL ), ( DRIP ), ( GUSH ), ( USOI ), ( NRGU ), ( UNG ), ( UGAZF ), ( BOIL ), ( KOLD ), ( UNL ), ( FCG )

Meanwhile, OPEC+ is set to meet over the weekend in Vienna to discuss production policy, and the consensus opinion of most market watchers expects the group to keep output unchanged.

More on oil and gas:

• Oil Data Continues To Fly In The Face Of Skeptics
• U.S. Oil Demand Is Trending In The Right Direction, So It's Only A Matter Of Time
• United States Natural Gas Fund: Much Better Ways To Go Long Natural Gas

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