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Crude Oil Slide Below $68

Crude oil futures reversed course Tuesday, unable to extend 4-year highs as U.S. stocks were hammered.

Oil, which has been rising on speculation of strong global demand, was dented today by profit taking and Iran's resistance to further supply cuts.

WTI light sweet oil was down 80 cents at $67.86.

Iran has reportedly nixed a formal extension of the cartel's supply quota plan with Russia, but Saudi Arabia and others will continue to limit production beyond this year, analysts say.

Iran's oil minister Bijan Zanganeh, speaking yesterday to Iran's news service Shana, said that if oil prices continued to rise, there will be no need to extend the OPEC/non-OPEC production deal beyond the end of 2018.
Last week, President Donald Trump blasted OPEC for trying to artificially boost prices.

"Looks like OPEC is at it again," he wrote. "With record amounts of Oil all over the place, including the fully loaded ships at sea, Oil prices are artificially Very High! No good and will not be accepted!"

U.S. oil inventories data from the American Petroleum Institute and the Energy Information Administration is expected to drive trades tonight and tomorrow.

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Market Analysis

A busy week for economics saw the release of first quarter growth figures for the U.S. economy and the interest rate decision in Japan. Read our stories to find out why the GDP data damped market sentiment in the U.S. and what were the signals given out by the Bank of Japan. Other news this week included new home sales data and jobless claims figures from the U.S., and the latest purchasing managers' survey results for the Eurozone.

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