Oil Prices Drop Again, Barrel Briefly Below $30 Threshold - NBC Bay Area
National & International News
The day’s top national and international news

Oil Prices Drop Again, Barrel Briefly Below $30 Threshold



    Oil Prices Drop Again, Barrel Briefly Below $30 Threshold
    Bloomberg via Getty Images
    A Citgo oil refinery stands in Corpus Christi, Texas, U.S., on Thursday, Jan. 7, 2016. Crude oil slid Thursday to the lowest level since December 2003 as turbulence in China, the worlds biggest energy consumer, prompted concerns about the strength of demand.

    Oil fell briefly below $30 a barrel on Tuesday, extending a relentless selloff that has wiped almost 20 percent off prices this year amid deepening concerns about fragile Chinese demand and the absence of output restraint.

    The day's near 4 percent drop marks a seventh day of losses for oil. Traders have all but given up attempting to predict where the new-year rout will end, with momentum-driven dealing and overwhelmingly bearish sentiment engulfing the market. Some analysts warned of $20 a barrel; Standard Chartered said fund selling may not relent until it reaches $10, NBC News reported.

    By Tuesday, the crash had become almost self-fulfilling, with speculators too afraid to buy for fear of being burned by another false bottom.

    U.S. West Texas Intermediate crude(WTI) settled at $30.41 a barrel after touching a low of $29.93, a level not seen since December 2003.