Oil slumps 4% to lowest close since July

Oil drilling rigs

Oil deepened its losses today, Nov. 7, as Chinese data showed a rise in imports along with a contraction in exports, which reduced last month's trade surplus to $56.53 billion, and renewed fears of weak demand.

Brent crude for January delivery fell 4.2%, or $3.57, to $81.61 per barrel—the lowest closing since July 26.

WTI crude for December delivery fell 4.25%, or $3.45, to record $77.37 per barrel. The contract recorded the lowest settlement since July 21.

Chinese customs data showed that the country's exports declined by 6.4% year-on-year (YoY) in October, compared to a contraction of 6.2% in September. Imports rose by 3% YoY last month, and China’s oil imports also increased by 13.52% YoY.

Meanwhile, the International Monetary Fund raised its forecast for Chinese economic growth to 5.4% in 2023. The international lender still expects growth in the world's second largest economy to slow next year to 4.6%, under pressure from the continuing real estate market crisis and weak external demand.