$30 Oil Just Got Closer as WTI Slides to 12-Year Low on China

Bloomberg – U.S. oil futures in New York slid to the lowest in 12 years as turmoil in China’s markets pushes crude closer to $30 a barrel. West Texas Intermediate slid as much as 5.5 percent Thursday on concern that an economic slowdown in the world’s biggest commodity consumer is worsening. China’s central bank reduced the onshore yuan’s fixing to the lowest since March 2011, triggering a selloff that led to the closure of Chinese stock exchanges. Brent oil will slump to $30 in the next 10 days, according to Nomura Holdings Inc., while UBS Group AG sees an oversupply pushing prices even lower. “Most people are probably surprised that oil prices would go to this level,” Statoil ASA Chief Executive Officer Eldar Saetre said in an interview in Oslo. “It could go even lower, and it just underlines the uncertainty.”  Oil capped the biggest two-year loss on record in 2015 as the Organization of Petroleum Exporting Countries effectively abandoned output limits amid a global glut. Stockpiles at Cushing, Oklahoma, the delivery point for U.S. benchmark crude, rose to a record while nationwide stockpiles remain about 100 million barrels above the five-year average, according to Energy Information Administration data. WTI for

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Source: CTRM Center

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