In New York, US crude oil prices surged by over 2% as the impact of a hurricane that hit key US oil facilities continued to cause supply concerns, pushing up oil prices. The West Texas Intermediate (WTI) crude oil for October delivery on the New York Mercantile Exchange closed at $70.09 per barrel, up $1.44 (2.10%) from the previous trading day. The global benchmark Brent crude oil price for November delivery closed at $72.75 per barrel, up $1.14 (1.59%) from the previous day. According to the Bureau of Safety and Environmental Enforcement (BSEE), around 30% of oil facilities and 41% of natural gas production facilities in the Gulf of Mexico were shut down due to the impact of Hurricane “Francine.” BSEE reported that 522,000 barrels of oil production facilities were halted, resulting in a weekly production decrease of 1.82 million barrels. Analyst Matt Smith of Clipper analyzed that the aftermath of the hurricane is still affecting oil prices, with a focus on oil production rather than refining, indicating a slight bullish factor for oil prices. Hurricane Francine, a Category 1 hurricane that made landfall in the Gulf of Mexico on September 11, closed some oil facilities. According to the Energy Information Administration (EIA), the Gulf of Mexico accounts for 14% of US oil production. Market attention is expected to shift to the Federal Open Market Committee (FOMC) meeting on September 17-18 to see the rate cut expected to be a done deal, but opinions on the extent of the rate cut remain divided. Senior economist Tim Snyder of Marta de Economix said the market will hold its breath for the next two days. Lower interest rates are generally believed to reduce borrowing costs, stimulate economic activity, and revive oil demand. Analyst Kelvin Won of Oanda, however, said, “A 50bp rate cut could signal weakness in the US economy,” and “this could raise concerns about oil demand.” The disappointing trend in Chinese economic indicators over the weekend has raised concerns about global oil demand, as China is the world’s largest oil importer. In August, China’s industrial output growth rate hit a five-month low, while retail sales and new home prices continued to weaken. China’s refinery production also declined for the fifth consecutive month, attributed to weak fuel demand and shrinking export margins, leading to a slowdown in production.