Crude oil fell to a 21-month low on speculation that the International Energy Agency will cut its global demand estimate tomorrow and the U.S. will report that stockpiles gained.
The IEA is “more than likely” to lower its oil-demand forecast for next year in its next monthly oil report, according to Executive Director Nobuo Tanaka. The U.S. Energy Department cut its oil-demand and price forecasts today. A department report tomorrow may show that crude-oil supplies rose last week.
“It’s hard to see what will stop this slide,” said Tom Bentz, senior energy analyst at BNP Paribas in New York. “It’s more of the same. The market is moving on continuing economic concerns.”
Crude oil for December delivery fell $3.17, or 5.3 percent, to $56.16 a barrel at 2:46 p.m. on the New York Mercantile Exchange, the lowest settlement since Jan. 29, 2007. Prices have tumbled 62 percent since reaching a record $147.27 on July 11.
Click here to read the full article …
