LONDON — Brent oil dived to a four-year low point on Friday, extending this week’s sharp falls on global economic fears and plentiful crude supplies, analysts said. Brent North Sea crude for delivery in November tumbled to US$88.11 a barrel in Asian trading hours, touching the lowest level since December 1, 2010. U.S. benchmark West Texas Intermediate (WTI) for November delivery sank to US$83.59, a point last witnessed on July 3, 2012. “Growing oil supplies throughout the world outpacing a slowdown in energy demand continue to put downside pressure on crude prices,” said dealer Jonathan Sudaria at trading firm Capital Spreads. Brent later stood at US$89.47 in midday London deals, down 58 cents from Thursday’s closing level. WTI changed hands at US$84.54, down US$1.23. Both contracts have now plunged by about a fifth in value since striking their 2014 peaks in June.
Crude futures tumbled Thursday as fresh evidence of economic weakness in the eurozone, especially in Germany, added to concerns slowing global growth and abundant oil supplies. The market accelerated its losses after the head of the International Monetary Fund (IMF) warned the eurozone could slip back into recession. Friday’s losses come as equities markets suffer another heavy sell-off.