Brent crude falls nearly 6% on Saudi price cut, Covid flare-ups
New York: Oil futures tumbled on Tuesday, with Brent dropping below $40 a barrel for the first time since June and U.S. crude off more than 8%, after Saudi Arabia cut its October selling prices amid a flare-up of coronavirus cases around the world.
Coronavirus infections are rising in India, Great Britain, Spain and several parts of the United States, where the infection rate has not come under control for months. The rebound in illnesses could weaken the global economic recovery and sap fuel demand.
U.S. West Texas Intermediate (WTI) crude dropped $3.42 or 8.6%, to $36.35 at 11:33 AM EDT (1533 GMT), lowest since June 15. Brent crude fell $2.46, or 5.9%, to $39.55 a barrel.
