Oil drops to 13-month low on weak Chinese demand, traders eye OPEC+ cuts - Reuters

Oil drops to 13-month low on weak Chinese demand, traders eye OPEC+ cuts - Reuters:

Oil prices fell to their lowest level since December 2018 on Monday on weaker Chinese demand in the wake of the coronavirus outbreak and as traders waited to see if Russia would join other producers in seeking further output cuts.

Oil has dropped more than 25% from a peak in January with U.S. crude back below $50 a barrel after the spreading virus hit demand in China, the world’s largest oil importer, and fueled concerns about excess global supplies.

Brent futures LCOc1 fell $1.20, or 2.2%, to settle at $53.27 a barrel, their lowest close since Dec. 28, 2018, while U.S. West Texas Intermediate crude CLc1 fell 75 cents, or 1.5%, to settle at $49.57, the lowest close since Jan. 7, 2019.

That keeps both Brent and WTI in oversold territory for 13 days and 14 days, respectively, their longest bearish streaks since November 2018.