With the euro debt crisis still in the headlines, and investors turning to the US dollar for safety, world oil prices continue to soften. By mid-day trading in Europe, futures contracts for light sweet crude for June delivery fell another dollar to $68.86 a barrel, while London’s Brent North Sea crude for July sank 1.24 dollars to 72.45 dollars a barrel.
“Crude was still lower as risk aversion continues to grip the broader market and after global equities lost more ground following Germany’s sudden move to ban naked short selling of certain stocks, credit default swaps and sovereign bonds,” said VTB Capital analyst Andrey Kryuchenkov.
“Global markets reacted negatively to a real threat of tougher financial regulations with the approaching G20 summit in June.”
Source: AFP News
