Commodity Daily News

Crude Oil Plummets 5% as Global Recession Deepens

Crude Oil fell about $1 or 5% during yesterday trading session to close at $43.89. This came about as stock market indices throughout the world plummeted yesterday, raising fresh concerns about Oil demand as fears about a prolonged global recession and falling global demand of Oil return to the forefront. This comes about just a day after Crude Oil soared by 9%. Analysts foresee that if current economic conditions continue, then Crude Oil prices may stand at $40 by the end of next week's trading session.

It is important to note, however, that recently, the lower demand in Oil has fueled the heavy losses in the black Gold's value. The losses yesterday on Wall Street was the last thing that Crude prices needed, as investors previously believed that Oil prices may finish this week at as high as $50 a barrel. The release of the U.S. Non-Farm Employment figures at 13:30 GMT is likely to show a poor performance, adding additional downward pressure on Crude prices.