LONDON (SHARECAST) - Crude oil futures slumped to almost a one-month low on Monday after Greece's debt downgrade triggered another wave of nerves into an already jumpy commodity market.
Standard & Poor's cut Greece's credit ratings by three notches, citing concern that it looks likely the country will default.
Concern about the health of the global recovery, triggered by recent weak economic data from the US and China, and ongoing fears over Greece’s debt crisis took crude prices sharply lower for the second session.
Crude for July delivery dropped $1.99 to $97.30 per barrel on the New York Mercantile Exchange.
Prices slumped 2.6% on Friday after Saudi Arabia said it would pump more oil in July, despite OPEC's official decision to keep output unchanged.
In London Brent futures shrugged off earlier losses to settle 32 cents higher at $119.10 a barrel on ICE Futures exchange.
Among precious metals gold registered its biggest one-day loss in over a month as economic concern failed to provide safe haven flows.
Gold for June delivery fell $13.60 to settle at $1,515.00 a troy ounce on the Comex division of the New York Mercantile Exchange.
