Oil price continues decline
NEW YORK, December 29, 2015 – Oil prices fell more than 3% on Monday, with Brent crude nearing an 11-year low. The fall follows last week’s short covering and reinforces worries that the slump will continue in 2016 amid a supply glut.
Brent lost USD 1.27 and settled at USD 36.62 per barrel. West Texas Intermediate futures continued a four-day decline, finishing the session down USD 1.29 at USD 36.81.
American petrol futures also received a share of the slide, falling more than 2%. Heating oil fell 1%, but the losses were limited due to the cold weather outlook, which will lead to a demand spike.
“A bearish stance still appears warranted and we continue to view a decline to the USD 32.50 area,” Jim Ritterbusch of Chicago oil markets consultancy Ritterbusch & Associates said to Reuters news agency.