Oil futures resumed their drop Monday, tracking losses ripping through broader financial markets as concern for a prolonged trade war and its risk to global oil demand has been rekindled in recent days.
Last week, the U.S. oil benchmark suffered its biggest one-day fall in more than four years and ended lower for the week after President Donald Trump moved to impose additional import tariffs on Chinese goods and China pledged retaliation on other goods.
Early Monday, West Texas Intermediate crude for September delivery fell 47 cents, or 0.8%, to $55.19 a barrel on the New York Mercantile Exchange. Friday’s rebound recovered a portion of the 7.9% drop from Thursday. But the front-month contract still suffered a 1% weekly loss last week, according to Dow Jones Market Data, as WTI’s drop on Thursday marked the biggest percentage fall for a front-month contract since Feb. 4, 2015 and the settlement at $53.95 that day was the lowest since June 19, according to Dow Jones Market Data.
Global benchmark October Brent crude fell 72 cents, or 1.2%, to $61.38 a barrel on ICE Europe. Its loss fattened by Thursday’s 7% slide, the contract ended 2.3% lower for last week.
Source : Marketwatch