Dec 28, 2024 2:35 a.m.

Oil prices dived 3% to a 6-month low on oversupply concerns

The downward spiral was attributed to growing apprehensions about oversupply and unexpected economic developments in the United States.

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In a volatile market shift, oil prices experienced a significant 3% decline on Tuesday, 12 December 2023 reaching their lowest point in six months. The downward spiral was attributed to growing apprehensions about oversupply and unexpected economic developments in the United States.

Simultaneously, a draft COP28 climate deal emerged, sparking discussion as it notably omitted the earlier call to 'phase out' fossil fuels, reflecting potential shifts in environmental policies.

Brent futures plunged $2.79/barrel or 3.7%, closing at $73.24/barrel. 

WTI crude for January delivery dropped $2.71/barrel or 3.8% to settle at $68.61/barrel.