Brent Oil Drops Below $100 after Chinese Data

Oil tumbled by $1 on Monday, with Brent sliding below $100 a barrel for the first time in more than a year and West Texas Intermediate tumbling to near its lowest of 2014, as Chinese and U.S. data pointed to slower-than-expected growth in the world’s top oil consumers.

Weak economic growth combined with ample supply has pushed oil prices down from a high for the year above $115 hit in June, complicating efforts by central banks to ward off deflation and putting pressure on the budgets of major oil producers.

Brent crude fell nearly $1 to $100, rebounding slightly from an earlier low of $99.36 a barrel, its lowest since May 1, 2013. U.S. crude fell 63 cents to settle at $92.66 a barrel, its weakest close since January 14. Disappointing U.S. nonfarm payrolls data cast doubt on the pace of growth in the world’s biggest oil-consuming economy.

CNBC

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.