WTI nosedives more than 5% as Israel spares Iran Oil facilities from assault

• The Oil price plunges more than 5% as Israel didn’t attack Oil facilities in Iran over the weekend.
• Investors await the Q3 GDP data from the Eurozone and the US to get cues about the current status of global economic health.
• US Trump vowed to hike import tariffs by 60% on China.

West Texas Intermediate (WTI), futures on NYMEX, dives vertically to near $67.00 in Monday’s European session. The Oil price weakens significantly as Israel did not attack Iran’s Oil and energy facilities in its retaliation move, which has diminished tight supply risks.

Israel launched a few airstrikes on Iran’s defense-producing facilities over the weekend in an attempt to weaken its capacity for retaliation. After the attack, Israel Prime Minister Benjamin Netanyahu said, “We promised we would respond to the Iranian attack, and on Saturday we struck. The attack in Iran was precise and powerful, achieving all of its objectives”, Home Newsday reported.

Broadly, the Oil price has been under pressure by its vulnerable demand outlook amid growing global economic risks. For the economic health checkup, investors will focus on the flash Q3 Gross Domestic Product (GDP) data from the Eurozone and the United States (US), which will be published on Wednesday.

On an annualized basis, the Eurozone and the US economy are estimated to have grown by 0.8% and 3%, respectively. The scenario of a lower-than-expected growth rate will have a negative impact on the Oil price.

Meanwhile, the Oil price is also facing pressure from former US President Donald Trump’s promise of hiking tariffs by 60% on imports from China if he wins the presidential elections against current Vice President Kamala Harris.