NewsPreviousForecastAnalysisOil prices tumbled to the weakest levels and so far this year fell 20% as a result of worries regarding the debt crisis in the euro zone, which is weighing on investors confidence therefore they feel that oil prices will further decline led from the crippled demand. The decline in the euro versus the dollar makes oil as a commodity more expensive for investors, therefore discouraging investors to enter oil markets. The contract shed $1.53 closing at $70.08 while recording a high of $72.25 per barrel and a low of $69.27 per barrel.
Looking at oil shares, we see that Exxon Mobil dipped 0.33 points or 0.51% to $63.27, ConocoPhillips fell 0.65 points or 1.16% to $55.19 while Chevron Corp. slipped 0.10 points or 1.28% to $77.73.
The Dollar Index which measures the dollar against six major currencies resumed its climb; the dollar is usually watched carefully in the oil markets since oil is priced in dollars. The Dollar Index is currently traded at 86.29 while recording a high of 86.55 and a low of 86.11.
Today, oil prices are rebounding based on technical reasons as they have been declining lately while currently they are correcting after the market sell-off that has been occurring in markets. The fears are towards the debt crisis spreading in the euro zone which therefore would weigh on economic growth, and this is reflecting the crippled oil demand. The markets opened today at $70.50 while recording a high of $70.84 per barrel and a low of $70.30 per barrel.