Oil slumps nearly 5%, WTI crude below $68

Oil drilling rigs

Oil prices fell to their lowest level in more than a year today, March 15, amid growing concerns about the global banking system.

Oil tracked the fluctuations and sharps losses in the equity markets, due to the turmoil in Credit Suisse Bank and following the collapse Silicon Valley Bank.

The International Energy Agency raised its forecast for global oil demand growth this year, noting that the market could see a deficit in the second half of the year.

On the other hand, US Energy Information Administration data showed that crude oil inventories rose by 1.6 million barrels in the week ended March 10, while gasoline stocks fell by 2.1 million barrels.

Brent crude plunged 4.8%, or $3.76, to close at $73.69 a barrel, recovering from an intra-day drop to $71.67.

WTI crude fell 5.2%, or $3.72, to record $67.61 per barrel.