International oil prices drop by 4%. Global economic uncertainty and the strong dollar all weighed on oil prices.
Oil prices drop by 4%, US West Texas Crude Oil futures fell 3.9% to record 77.15 dollars per barrel. The daily drop is the largest in more than a month.
North Sea and Brent Crude at 82.33 dollars per barrel, down $3.58 (4.2%). It’s the biggest daily drop in over three months.
Oil prices fell on the first trading day of the new year due to the decline in the stock market and the strengthening dollar.
The dollar rose the most in nearly three weeks. Factory conditions in China shrank significantly last month as infections exploded, disrupted production, and sluggish demand.
Concerns about a global recession also played a part in pulling down oil prices. A third of the global economy could fall into recession this year.