Oil falls towards $25 as oversupply fears mount with U.S. inventory rise - Reuters

Oil falls towards $25 as oversupply fears mount with U.S. inventory rise - Reuters:

Oil slid towards $25 a barrel on Wednesday, within sight of its lowest in 18 years, as a report showing a big rise in U.S. inventories and a widening rift within OPEC heightened oversupply concerns.

Pledges of higher output from Saudi Arabia and Russia after a supply pact collapsed and a slide in demand due to the coronavirus outbreak have hammered the market.

Global benchmark Brent crude fell 66% in the first three months of 2020 in its biggest ever quarterly loss.

As of 1039 GMT, Brent LCOc1 was down 76 cents, or 2.9%, at $25.59. U.S. West Texas Intermediate crude Clc1 was down 1 cent at $20.47.

“April will be one of the toughest months in history for oil and this is no April fool’s joke,” said Bjornar Tonhaugen of Rystad Energy.