New Virus Concerns Cause Oil to Dip – 22 January, 2020

A rise in U.S. oil inventories as well as the outbreak and spread of a new disease possibly lowering demand caused oil prices to fall to a seven week low. The virus, similar to SARS and which both started in China, is being closely monitored as one that may follow in in the SARS footsteps, affecting economic growth and travel. U.S. West Texas Intermediate crude futures dropped 95 cents or 1.7% to $55.78 per barrel. International Brent crude futures fell 1.7% or $1.05 to $62.16 per barrel. Prices are estimated to fluctuate around $5 until more research about the disease can be done.