Oil closes below $50 for the first time in a year

Oil prices closed below psychologically significant $50 a barrel level for the first time in a year on oversupply fears. On Monday, both West Texas Intermediate (WTI) and global benchmark Brent crude settled below the $50 and $60 marks, respectively.

On Tuesday, by 11:05 pm Riyadh local time, Brent Crude futures were down 1.93 percent to $58.56 a barrel, while WTI crude futures were down by 1.70 percent to $49.03 a barrel.

“Oil broke lower yesterday, going through the $50 mark to trade as low as $49; as traders are willing to sit on the side-lines until the end of the year until the OPEC production cuts come in effect,” wrote Konstantinos Anthis, Head of Research at ADS Securities in his latest report.