Crude oil futures fall 8% amid weak Asian cues

New Delhi: Crude oil futures fell by Rs 8 to Rs 2,182 per barrel on Tuesday as speculators trimmed their positions amid weak cues from the Asian markets where it dipped to over 12-year lows. At the Multi Commodity Exchange of India (MCX), crude oil for delivery in February shed Rs 8 or 0.37% to Rs 2,182 per barrel in 534 lots.

On similar lines, crude for delivery in January was trading lower by Rs 5 or 0.24% to Rs 2,084 per barrel in a business volume of 3,979 lots.
Analysts said trading sentiment remained weak following oil prices tumbling below $31 (nearly Rs 2,073.9) a barrel in Asian trade on Tuesday, extending a sell-off that has sent the commodity to more than 12-year lows, hit by a global supply glut, a strong dollar and tepid demand.

Also read: Oil prices rebound from 12-year low as market sentiments improve
Globally, West Texas Intermediate (WTI) crude oil for February delivery slumped 45 cents or 1.43% to $30.96 (nearly Rs 2,071.22) a barrel while Brent crude tumbled 47 cents or 1.49% to $31.08 (nearly Rs 2,079.25) a barrel on the New York Mercantile Exchange.
The last time prices were so low for WTI was in December 2003 and in April 2004 for Brent. WTI touched a low of $29.66 (nearly Rs 1,984.25) in December 2003 and Brent in April 2004 hit $29.95 (nearly Rs 2,003.66).
Oil prices plummeted 10% last week as investors concern grew about the global supply glut and weakness in China’s market, which is the world’s biggest energy user.

Posted by on January 12, 2016. Filed under Economy. You can follow any responses to this entry through the RSS 2.0. Both comments and pings are currently closed.