Crude oil futures tumble over 4% on weak Asian trend

Wednesday, Feb 3, 2016,11:15 IST By metrovaartha A A A

New Delhi | Crude oil futures Wednesday witnessed a deep plunge, tanking over 4 per cent to Rs 2,066 per barrel as speculators cut down their bets amid weak cues from the Asian markets where it stayed below USD 30 per barrel. At the Multi Commodity Exchange, crude oil for delivery this month contract was trading sharply lower by Rs 87, or 4.04 per cent, to Rs 2,066 per barrel with a business volume of 2,81,335 lots. On similar lines, crude for delivery in March also dropped by Rs 82, or 3.60 per cent, to Rs 2,196 per barrel in 14,874 lots.

Analysts said trading sentiment remained weak at futures trade here after crude stayed below USD 30 per barrel in Asia today as oil price losses deepened on expectations US petroleum stockpiles will rise further and exacerbate the already oversaturated global market.

Globally, West Texas Intermediate (WTI) crude oil for delivery in March slid 18 cents, or 0.60 per cent, to USD 29.70 a barrel, while Brent crude for April dipped to USD 32.58 a barrel, down 14 cents, or 0.43 per cent on the New York Mercantile Exchange.

Meanwhile, WTI closed at USD 29.88 on the New York Mercantile Exchange yesterday, the first time the benchmark settled below USD 30 since January 21.