Comment on China's economic issues are so serious that even the oil market doesn't care about Middle East tensions — for now

China's economic issues are so serious that even the oil market doesn't care about Middle East tensions — for now

China and Saudi Arabia are impacting oil prices more than Israel's actions in the Middle East.Lintao Zhang/Getty ImagesIsrael launched a ground offensive against Hezbollah targets in southern Lebanon on Tuesday.Despite the Middle East's significant oil production, crude prices were little changed.China's slowing crude demand growth and economic struggles are dampening oil market sentiment.Israel launched a ground offensive against Hezbollah targets in southern Lebanon on Tuesday in a marked escalation of tensions in the Middle East — and the energy markets largely shrugged.The indifference is significant because the Middle East is a huge producer of crude oil — pumping one-third of the world's supply — so any geopolitical tension in the region could spark some sort of meaningful price gain.This time, oil prices simply nudged up a little.Global benchmark Brent crude oil futures were up 0.17% to $71.82 per barrel at 2.14 a.m.

 

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