SINGAPORE:Brent crude fell by $72 a barrel on Tuesday, giving up some of the expands seen on Monday when the market rallied for the first time in six sessions.
Oil has plunged close to 40 percent in the past five months in its longest string of monthly losses since the 2008 crisis, as supply growth led by the U.S. shale oil boom exceeded demand. A decision by OPEC to maintain output has also pummeled prices.
Analysts said that the market was going through a volatile adjustment phase that would lead to more erratic price movements before a more stable pricing environment is found.
“Prices remain volatile as the market adjusts after last week’s 10-percent drop. We saw a huge recovery yesterday (but) this increase is likely to be short-lived as we see this as a consolidation of prices,” Singapore-based trading house Phillip Capital said on Tuesday.
“We also expect prices to overreact to any news in coming weeks with more volatility to come.”
Brent crude had dipped 34 cents to $72.20 a barrel by 0620 GMT (01:20 a.m. ET), after a 3.4-percent gain on Monday. U.S. crude fell 44 cents to $68.56 a barrel.
shanghai shares start week with losses 25 june 2018
Hong Kong, (UrduPoint / Pakistan Point News - 25th Jun, 2018 ) :Hong Kong and mainland Chinese stocks fell on...
