Oil prices decline amid supply glut

New York, Jan 5 (IANS) Oil prices retreated on Monday as the supply glut overweighed geopolitical tensions in Middle East.

Crude prices moved up in the morning section after Saudi Arabia cut off its diplomatic relations with Iran, fuelling fears that the flare-up of tensions could disrupt oil supplies of the two important oil exporters in the Middle East, Xinhua news agency reported.

The market, however, later pared early gains as worries about a global supply glut started to weigh on the market.

Saudi Arabia severed diplomatic ties with Iran on Sunday after angry Iranian protesters stormed the Saudi diplomat mission to protest the Saudi execution of 47 individuals on terrorism charges, including Saudi Shiite cleric Nemer Baqar Al-Nemer.

The West Texas Intermediate for February delivery moved down 28 cents to settle at $36.76 a barrel on the New York Mercantile Exchange, while Brent crude for February delivery decreased 6 cents to close at $37.22 a barrel on the London ICE Futures Exchange.

Leave a Reply

Please enter your comment!

The opinions, views, and thoughts expressed by the readers and those providing comments are theirs alone and do not reflect the opinions of www.mangalorean.com or any employee thereof. www.mangalorean.com is not responsible for the accuracy of any of the information supplied by the readers. Responsibility for the content of comments belongs to the commenter alone.  

We request the readers to refrain from posting defamatory, inflammatory comments and not indulge in personal attacks. However, it is obligatory on the part of www.mangalorean.com to provide the IP address and other details of senders of such comments to the concerned authorities upon their request.

Hence we request all our readers to help us to delete comments that do not follow these guidelines by informing us at  info@mangalorean.com. Lets work together to keep the comments clean and worthful, thereby make a difference in the community.

Please enter your name here