Crude oil prices opened for trading on Wednesday below $100 a barrel of Brent amid growing concerns about the spread of the Corona virus in major markets and fears of a global recession.
The severity of Corona virus infections has increased in China, with more than 57 cases reported in the Chinese mainland with an unknown source of infection amid fears of a partial shutdown of the country’s major cities.
China is the world’s largest importer of crude oil, with an average daily volume of 10 million barrels per day, and the closure of major cities means demand for crude oil will decline.
By then (0605 GMT), global benchmark Brent oil futures for September delivery fell 0.27 percent, or 27 cents, to $99.17 a barrel.
U.S. West Texas Intermediate crude for August delivery also fell 0.19%, or 18 cents, to $96.65 a barrel.
Global recession worries are heightened by high inflation and higher interest rates in an attempt by central banks to stem rising consumer prices.
Source: El Iktisad
