Oil slips for 3rd day as virus fears outweigh supply cuts - Reuters

Oil slips for 3rd day as virus fears outweigh supply cuts - Reuters:

Oil fell below $56 a barrel on Tuesday, dropping for a third day, as concerns about the spread of the coronavirus and its impact on oil demand outweighed OPEC output cuts and Libyan supply losses. 

Crude fell almost 4% on Monday, with other commodities also reporting losses while U.S. and European equities suffered their steepest declines since mid-2016 on concern the coronavirus outbreak could turn into a pandemic.

Brent crude fell 83 cents to $55.47 a barrel by 12:33 p.m. EST. U.S. West Texas Intermediate crude slipped 91 cents to $50.52.

“Demand concerns are wiping out all of the gains we have made over the last few weeks,” said Bob Yawger, director of energy futures at Mizuho in New York. “This is not a situation that is going to suddenly get better.”