Brent crude plummeted after nearly three years after crossing $ 80 a barrel, the five-day rally lost its momentum and was hit as investors sold crude for profit.
While demand for fuel has increased, record prices for crude have seen surprising activity, and traders expect major manufacturing nations to decide to tighten their grip when the Organization of the Petroleum Exporting Countries (OPEC) meets next week.
According to Reuters, Brent crude oil width fell 44 cents, or 0.6 percent, to $ 79.09 a barrel after hitting a high of $ 80.75 from 2018.
U.S. West Texas Intermediate crude was down 16 percent, or 0.2 percent, at $ 75.29, after hitting a one-day high of $ 76.67 in July.
Andrew Lipo, president of Lipo Oil Associates, a Houston – based consulting firm, said:
The world’s largest energy consumer is also facing market adverse factors from China’s electricity crisis.
On Tuesday, OPEC predicted that “oil demand will increase significantly over the next few years,” adding that despite shifting to less polluting energy forms, the world must continue to invest in production to avoid a crisis.
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