Crude oil prices fall on worries over fuel demand setback as infections rise
TOKYO: Oil prices dropped on Monday, amid concerns that a recovery in fuel demand could be derailed by a rise in the pace of coronavirus infections around the world.
Brent crude was down 36 cents, or 0.8 per cent, at $42.78 a barrel by 0653 GMT, after dropping slightly last week. US oil was off by 34 cents, or 0.8 per cent, at $40.25 a barrel, after gaining 4 cents last week.
More than 14.5 million people have been infected by the novel coronavirus globally and more than 604,000 have died of COVID-19, the disease caused by the pathogen, according to a Reuters tally.
“The never-ending coronavirus pandemic may force countries to reinstitute lockdown measures that will slow economic growth and curb energy demand,” said Avtar Sandu, commodities manager at Phillip Futures.
