Crude oil futures on Wednesday lost value, tugged down in the aftermath of European oil companies acknowledging they are being investigated for manipulating prices of the energy commodity, according to Bloomberg.
The energy commodity slumped for a fifth consecutive trade session on Wednesday, marking its longest bearish run since December 2012. Royal Dutch, BP, Statoil ASA and Platts told the news source that investigators with the European Commission have raided their offices.
Reuters reports the growing strength of the U.S. dollar also is accountable for recent losses endured by the energy commodity. Underwhelming economic data about gross domestic product released by Germany, the largest economy in the euro zone, also tugged down crude oil futures on Wednesday.
"The market already priced in the weak results, but Germany, which accounts for a third of the euro zone GDP, came in weaker than expected," commodity market strategist Harry Tchilingurian with BNP Paribas told Reuters on Wednesday. "In the absence of a catalyst to push prices higher, the stronger dollar, particularly after the weak results from the euro zone, weighs on oil."
At 11:26 a.m. on Wednesday, West Texas Intermediate crude oil futures slumped 1.85 percent, a $1.74 drop to $92.47 per barrel. At 11:25 a.m., Brent crude oil futures slid 1.02 percent, a $1.05 loss to $101.55 per barrel.
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