Oil prices eased on Tuesday as investor disappointment over China’s latest stimulus plan and oversupply concerns weighed on the market, along with a stronger dollar.
Brent crude futures fell 17 cents, or 0.2%, to $71.66 a barrel, by 0550 GMT. U.S. West Texas Intermediate crude futures were at $67.84 a barrel, down 20 cents or 0.3%.
Both contracts had fallen by more than 5% over the previous two trading sessions. China unveiled a 10-trillion-yuan ($1.4-trillion) debt package on Friday to ease local government financing strains, as the world’s biggest oil importer faces fresh pressure from the re-election of Donald Trump as U.S. president.
But analysts said it fell short of the amount of stimulus that would be needed to boost growth. While crude oil prices extended losses on a stronger U.S. dollar, concerns also emerged over demand in China, ANZ Research analysts said in a note.
