Despite its small gain to begin the week, crude oil prices fell again on Tuesday. The price movement for the commodity seems to be staying within a narrow price range.
MarketWatch reported that on the New York Mercantile Exchange, light, sweet crude futures for delivery in November traded at $90.27 a barrel, falling 7 cents in the Globex electronic session. November Brent crude on London’s ICE Futures exchange dropped $0.08 to $92.71 a barrel. Nymex WTI crude fell to its second-lowest level this year in floor trade on Monday and is down over 8.2 percent year-to-date. Brent crude has declined around 16.25 percent year-to-date.
Crude oil remains at the mercy of the U.S. dollar. According to Bloomberg, while the dollar and economy are strong in the U.S., global demand for crude oil remains low while supply is still high. Additionally, the European economy is showing signs of weakening amid flagging German production.
“The German industrial production report reinforced the idea the European economy is in trouble. It’s depressing the market,” said Gene McGillian, an analyst and broker at Tradition Energy in Stamford, Connecticut.
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