• WTI tested back underneath $81.00 as Crude Oil markets wobble.
• Forecasts of Chinese Crude Oil demand have flipped from hopeful to fearful.
• OPEC production cuts set to begin ending at the end of September.

West Texas Intermediate (WTI) Crude Oil tested into the south end of the $81.00 handle on Monday as Crude Oil’s bullish break out of recent consolidation fizzles out. Barrel bids have been left within near-term consolidation levels, and global energy markets are running out of far-flung reasons to keep Crude Oil prices on the high end.

China reported a slowdown in quarterly Gross Domestic Product (GDP) growth recently, sparking fears that an upswing in Chinese Crude Oil demand, which has helped bolster Crude Oil prices through most of 2024, has given way to a feared slump in Chinese Crude Oil demand. WTI prices stopped just short of $84.00 per barrel in July before reversing direction and easing lower after it became clear that the uptick in Chinese fossil field demand markets spent over six months waiting for failed to materialize. Energy markets are now concerned that a steep decline in growth in China could cause barrel demand to fall even further.