Oil Holds Near $67 as U.S. Demand Concerns Eclipse Fed Rate Cut Boost

Crude prices traded little changed on Friday, with Brent closing around $67.29 per barrel and WTI at $63.34. The Federal Reserve’s 25-basis-point rate cut, which typically supports energy demand, failed to lift sentiment amid mounting signs of a U.S. slowdown.
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Investors focused instead on weakening demand signals: a softer labor market, a slump in housing starts, and distillate inventories surging by over 4 million barrels, far above expectations. These factors reinforced concerns that consumption in the world’s largest oil market may falter despite looser monetary policy.
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Analysis & Implications:

• Lower oil prices could ease global inflationary pressures but weigh heavily on revenues of major exporters.
• Energy investors should monitor OPEC+ supply strategies and demand trends heading into Q4.
• For Asia and emerging markets: stable or lower fuel costs may ease household burdens, though currency strength — such as Thailand’s baht — could offset some of the benefits.