Traders work in the crude oil futures pit on the floor of the New York Merchantile Exchange, Oct. 27, 2008. (Xinhua/Reuters Photo)
Crude oil closed at lowest point in nearly 17 months on Monday as investors worried that a global economic slowdown would pare the energy demand in long term.
Light, sweet crude for December delivery dropped to as low as 61.30 U.S. dollars a barrel before edging up to settle at 63.22 dollars a barrel, trading down 93 cents, on the New York Mercantile Exchange. It is oil's lowest settlement since May 29, 2007.
The fluctuation of oil prices has been closely following the performance of stocks as investors grew more concerned about economic conditions than other factors influencing oil. With Wall Street tumbling and major indexes in Asia and Europe ending sharply lower, crude futures continued its sliding on Monday. Even the sizable output cut of 1.5 million barrels a day by OPEC failed to ease the sentiment.
Moreover, the dollar rallied to its highest point in more than two and half years against the euro on Monday, which also contributed to the falling of the oil price.
In London, Brent crude for December delivery fell 64 cents to settle at 61.41 dollars a barrel after tumbling near 60 dollars a barrel on ICE Futures Exchange.
(Xinhua News Agency October 28, 2008)