• 4 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 7 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 11 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 15 minutes Wonders of Shale- Gas,bringing investments and jobs to the US
  • 2 mins Apartheid Is Still There: Post-apartheid South Africa Is World’s Most Unequal Country
  • 39 mins Evil Awakens: Fascist Symbols And Rhetoric On Rise In Italian EU Vote
  • 2 hours Total nonsense in climate debate
  • 21 hours IMO 2020 could create fierce competition for scarce water resources
  • 6 hours IRAN makes threats, rattles sabre . . . . U.S. makes threats, rattles sabre . . . . IRAQ steps up and plays the mediator. THIS ALLOWS BOTH SIDES TO "SAVE FACE". Then serious negotiations start.
  • 1 day IMO2020 To scrub or not to scrub
  • 11 hours Theresa May to Step Down
  • 1 day Devastating Sanctions: Iran and Venezuela hurting
  • 2 hours Will Canada drop Liberals, vote in Conservatives?
  • 1 day Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 1 day Level-Headed Analysis of the Future of U.S. Shale Oil Industry
  • 3 hours Trump needs to educate US companies and citizens on Chinese Communist Party and People's Liberation Army. This is real ECONOMIC WARFARE. To understand Chinese warfare read General Sun Tzu's "Art of War" . . . written 500 B.C.
  • 3 hours Canada's Uncivil Oil War : 78% of Voters Cite *Energy* as the Top Issue
Alt Text

The Fear Factor Is Back For Oil

While fundamentals suggest lower oil…

Julianne Geiger

Julianne Geiger

Julianne Geiger is a veteran editor, writer and researcher for Oilprice.com, and a member of the Creative Professionals Networking Group.

More Info

Trending Discussions

Oil Prices Tank Amid Global Stock Market Rout

Oil prices fell sharply in morning trade on Tuesday, with the key benchmarks WTI and Brent crude falling more than 4 percent as Dow Jones, S&P 500, and Nasdaq futures came tumbling down.

The stock market correction of roughly 1.6% is due to a culmination of factors, including unfavorable earnings reports from Caterpillar and 3M, poor performing Asian markets, interest rate hikes, and the U.S./China trade dispute.

The dampened economic spirits in the overall stock market managed to seep into the oil industry despite fears that increased tensions between the United States and Saudi Arabia over the murder of Jamal Khashoggi may cause Saudi Arabia to withhold oil production in retaliation. While restricted Saudi output would be a hard blow to the United States’ efforts to bring Iran’s oil exports to zero come November when the latest round of sanctions kick in, it would also mean a tighter market that would, if realized, send prices higher.

At 12:45 PM EDT, WTI was trading down 4.63% (-$2.15) at $66.15, while Brent crude was trading down 4.45% (-$2.51) at $76.28. The Canadian crude index saw an even more sharp decline of nearly 11 percent.

Oil prices took their cue today not just from the stock market, with Saudi Arabia’s promise to play a “responsible role” in the energy market was interpreted to mean it would increase production as needed to make up for losses in Iran and Venezuela.  

Despite Saudi Arabia’s non-specific promise to produce responsibly, in truth, OPEC has so far not made good on its June promise to increase production by 1 million bpd. While Saudi Arabia has increased production by over 500,000 bpd compared to May volumes, Iran, Venezuela, and Angola reported a drop in production of over 500,000 bpd.

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News