Profit-Taking Drops Oil to $80

Renewed concerns over the strength of the global economy had traders taking profits ahead of what some believe could be a pull-back in energy prices. On Monday, crude oil for December delivery was down 32 cents to $80.18 marking the third straight day of falling oil prices.

“It’s profit-taking after the surge in the past week without any change in fundamentals,” said Carsten Fritsch, analyst at Commerzbank, of the price fall.

“There’s more bearish factors than there is support from financial markets,” he said, adding that oil could quickly resume its rally given more support from outside factors such as equities.

Reuters

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