Crude oil fell with the start of the European trade on Monday, as the dollar firmed up and growth worries from the world's biggest economies resurfaced even after central banks from Japan to the U.S. added to stimulus measures.
WTI Crude for November settlements fell 0.83 percent to $92.10 a barrel as of 07:50, compared with the opening of $92.95, recording an intraday high of $82.88 and low of $91.78. Brent crude fell 0.0.77 percent to $110.70 a barrel.
A rebound in the U.S. currency is blunting back dollar-denominated commodities particularly growth-linked crude and gold, making it way too expensive to buy in foreign currencies. Last week, crude was down 6.6 percent on profit taking.
The Fed's new open-ended asset purchasing program has definitely supported oil and teased the dollar a bit, but uncertainty about global demand and increasing tensions tension in the Middle East are apparently holding off crude from taking a bigger step.
Commodities in general are under pressure, traders are seemingly running out of patience and optimism is nearly fading over the stimulus measures running its course, pulling the fatigue state of the global economy back to the front!
