After a brief rally in June crude-oil prices have hit their lowest prices in months, creating much market uncertainty that looks likely to continue
Oil may be a precious and dwindling resource but at the moment, at least, it looks like we just have too much of it. Crude-oil prices are now at their lowest since early April, hit by continued oversupply, concerns about global demand and negative price sentiment by oil-market participants. And that situation looks likely to continue in the near future.
The US crude oil benchmark price, West Texas Intermediate traded at the New York Mercantile Exchange, closed at $39.51 a barrel on Tuesday, the first time since 6 April. The global Brent crude oil benchmark closed at $41.50 on Tuesday, a three-and-a-half month low. As of midday Wednesday, prices were just above those levels.
Related: Is Opec relevant in an oil market of falling prices and overproduction?