Crude oil dropped to a new low today, an extension of the recent sell offs for the commodity.
MarketWatch reported that on the New York Mercantile Exchange, light, sweet crude futures for delivery in November traded at $87.91 a barrel, falling 93 cents in the Globex electronic session. November Brent crude on London's ICE Futures exchange declined 97 cents to $91.33 a barrel.
The Wall Street Journal wrote that crude prices in the U.S. and the rest of the world have been falling due to high supply and flagging demand. The Journal also noted that while demand was high in the U.S. over the summer due to ramped up production that led to low prices, the crude refineries' seasonal shutdowns for maintenance in September and October may have also contributed to the weak demand now.
According to MarketWatch, the IMF's grim global economic growth forecasts and the U.S. Energy Information Administration's announcement that U.S. oil demand dropped may also be keeping the price of crude down, having scared investors away from the commodity.
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