DJ Oil Prices Tumble Amid Demand Concerns

WTI crude futures lose 4%, its largest one-day fall in a month, to settle at $77.37 a barrel, the lowest since July, amid growing concerns about global demand. The decline comes despite both Saudi Arabia and Russia having pledged over the weekend to stick to production cuts through year end. Markets seem to believe oil from both nations will still leak into global markets just as demand is feared to decline amid economic slowdown in the US, China and other markets. “Today’s tumble suggests more technical weakness ahead, with spot testing the lower $70 range in the intermediate future,” Spartan’s Peter Cardillo says in a note.