Oil slumps 5% on demand concerns as coronavirus spreads - Reuters

Oil slumps 5% on demand concerns as coronavirus spreads - Reuters:

Oil prices slumped by 5% on Monday as the rapid spread of the coronavirus in countries outside China added to investor concerns over the effect on demand for crude.

Global equities also extended losses as worries about the impact of the virus grew, with the number of cases jumping in Iran, Italy and South Korea.

Brent crude futures fell $2.96, or 5.1%, to $55.54 a barrel. U.S. West Texas Intermediate (WTI) crude futures dropped by $2.58, or 4.8%, to $50.80 a barrel.

“As the virus spreads globally, additional downside revisions in oil demand for this year may be required,” Jim Ritterbusch, president of Ritterbusch and Associates, said in a note.