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Crude oil futures end deeply in red After Saudi Arabia’s price cuts

09 Jan 2024 Evaluate

Crude oil futures ended deeply in red on Monday after Saudi Arabia cut crude prices to all regions and as surveys showed higher production by members of the Organization of the Petroleum Exporting Countries. State-owned producer Saudi Aramco on Sunday said it would cut its official selling price for crude to all regions, including its largest market in Asia in February. The spread for Saudi crudes, including its flagship Arab light, over local benchmarks will be cut by up to $2 a barrel. Further, oil prices also fell as a resurgence in Covid cases in China raised concerns about energy demand.

Benchmark crude oil futures for February delivery fell by $3.53 or 3.5 percent to settle at $70.77 a barrel on the New York Mercantile Exchange. Brent crude for March delivery dropped by $2.64 or 3.51 percent to settle at $76.12 a barrel on London's Intercontinental Exchange. 


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