Brent Hits New 12-Year Oil Below $30 in Asian Trading

Brent oil prices dipped below $30 in Asian hours Thursday, underscoring weakness in the energy market amid a continued increase in the supply of the commodity.

U.S. WTI light sweet crude fell as much as 0.7 percent and was last at $30.66 a barrel while Brent oil fell as much as 1.9 percent to $29.73–its lowest level since February 2004–and was last at $30.05 a barrel.

Prices have tanked 20 percent just two weeks into this year and are about 70 percent lower since the summer of 2014 when prices started declining on a sustained basis.

Weighing on oil markets Thursday was a bearish report from the U.S. Energy Information Administration Wednesday which showed gasoline stocks surged by 8.4 million barrels while distillates stock jumped by 6.1 million barrels.

CNBC

Craig Erlam
Based in London, England, Craig Erlam joined OANDA in 2015 as a Market Analyst. With more than five years' experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while conducting macroeconomic commentary. He has been published by The Financial Times, Reuters, the BBC and The Telegraph, and he also appears regularly as a guest commentator on Bloomberg TV, CNBC, FOX Business and BNN. Craig holds a full membership to the Society of Technical Analysts and he is recognized as a Certified Financial Technician by the International Federation of Technical Analysts.