Oil slid by the most in two months as U.S. President Donald Trump pressed OPEC to cut prices and doubts grew about the impact of supply squeezes from Russia and Iran.
Futures in New York sank 2.9 percent Friday, wiping away gains from earlier in the week that followed America’s vow of tougher sanctions on Iran. Trump, speaking at the White House, said he’d called the producer cartel and demanded they bring down gasoline prices. Reports of readily available replacements for contaminated Russian oil also sapped momentum.
Crude hit a six-month high this week after the U.S. said it wouldn’t renew waivers allowing China and other major economies to import 1.4 million Iranian barrels a day. Yet how tight those sanctions will ultimately be remains in question. The market looked ready for a pullback anyway, with optimistic bets on prices far outweighing pessimistic ones, said Bob Yawger, futures director at Mizuho Securities USA.
West Texas Intermediate for June delivery slid $1.91 to $63.30 a barrel on the New York Mercantile Exchange, its biggest daily loss since late February. The contract recorded its first weekly decline -- 1.1 percent -- since March 1.
Brent for June settlement sank $2.20, or 3 percent, to $72.15 a barrel on the London-based ICE Futures Europe exchange, just a day after topping $75.
Source : Bloomberg