• Oil: Prices recover from early trading lows

Market news

9 December 2014

Oil: Prices recover from early trading lows

Brent crude and West Texas Intermediate recovered from five-year lows reversing earlier losses. Brent Crude gained +0.62% trading at USD66.60 a barrel, and West Texas Intermediate rose +0.86% currently quoted at USD63.59 after yesterday's fall amid a price war between Saudi Arabia and Iraq. Yesterday Iraq reduced its Basrah Light Crude prices to the lowest in 11 years following Saudi Arabia who cut prices for the U.S. and Asia last week. OPEC may call an extraordinary meeting in the first quarter of next year to discuss production levels again after the last meeting in Vienna on September 27th did not yield in output cuts and prices further declined considearably. Both Brent and WTI tumbled 18 percent in November. Crude has traded in a bear market since October amid the fastest pace of U.S. production in three decades, rising output from OPEC and signs of weakening global demand.

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