Oil falls 2% as specter of China virus threatens fuel demand - Reuters

Oil falls 2% as specter of China virus threatens fuel demand - Reuters:

Oil prices fell 2% on Thursday on concern that the spread of a virus from China could lower fuel demand if it stunts economic growth, but losses were limited by a drawdown in U.S. crude inventories.

Brent crude LCOc1 futures fell $1.17, or 1.9%, to settle at $62.04 a barrel. The session low was $61.25, the lowest since early December.

U.S. West Texas Intermediate (WTI) crude CLc1 ended down $1.15, or 2%, at $55.59 a barrel, after hitting $54.77, its lowest since November.

Two Chinese cities were put in lockdown on Thursday as health authorities around the world scrambled to prevent a global pandemic. The coronavirus outbreak has killed 18 people and infected nearly 630.

The potential for a pandemic has stirred memories of the Severe Acute Respiratory Syndrome (SARS) outbreak in 2002-03, which also started in China and caused a slump in travel.