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Montevideo, September 21st 2018 - 12:05 UTC

Oil prices plummet to seven-year lows on global supply glut

Wednesday, December 9th 2015 - 08:38 UTC
Full article 2 comments
A supply glut and weak demand, fuelled by China's economic slowdown, have sent prices slumping more than 60% over the past 18 months A supply glut and weak demand, fuelled by China's economic slowdown, have sent prices slumping more than 60% over the past 18 months

Oil prices slid on Tuesday, approaching seven-year low points on a global supply glut and weak demand growth. Crude futures had already slumped Monday after the OPEC oil producers cartel last week refused to slash record high output, in a market dogged by oversupply.

 A stubborn supply glut, and weak demand growth fuelled by China's economic slowdown, have combined to send crude prices slumping more than 60% over the past 18 months from levels above $100 a barrel.

In Tuesday trading, US benchmark West Texas Intermediate (WTI) for delivery in January hit a near seven-year low at $37.20 a barrel. Later at around 1300 GMT, WTI traded at $37.30 a barrel -- down 35 cents compared with Monday's close.

Brent North Sea crude for January also hit the lowest point since February 2009, at $40.41 a barrel. It later traded at $40.46, down 27 cents.

Markets were meanwhile awaiting the release Wednesday of US commercial crude stockpiles data, which will help gauge demand in the world's top oil consumer.

Tags: oil price.

Top Comments

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  • Briton

    Well they may have gone down, but its still over a quid at my local Tesco's store.

    Dec 09th, 2015 - 11:10 am 0
  • Britworker

    They probably have a copy of the SNP manifesto, wasn't it $150 a barrel they were going to guarantee to finance all their riches. They would be relying on Salmonds blubber to get them through by now.

    Dec 09th, 2015 - 10:05 pm 0
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