Oil Drops 4 Percent on Oversupply, Equities Sell-Off
Category: Trade
(CNBC) – Oil prices fell 4 percent on Tuesday, dropping for a third consecutive session as reports of swelling inventories and forecasts of record U.S. and Russian output combined with a sharp sell-off in global stock markets.
U.S. crude oil dropped $2.04, or 4.1 percent, to a low of $47.84, its weakest since September 2017, before recovering to around $48.40 by 1115 GMT.
North Sea Brent crude lost $2.41, or 4.0 percent, to a low of $57.20, a 14-month low, and last traded around $58.06, down $1.55.
Both crude oil benchmarks have shed more than 30 percent since early October due to swelling global inventories.