Oil prices continued to fall on Tuesday, extending Monday’s losses amid persistent concerns over US supplies after reports that Cushing, Oklahoma crude inventories rose by more than 1 million barrels from December 11th to 14th. Also, a sell-off in financial markets weighted on sentiment. The US crude was down 3.2% to $48 a barrel, hitting its lowest level since September 11th 2017 and the Brent crude fell 3.3% to $58 a barrel, the lowest level since October 23th last year around 09:40 AM London time. Historically, Crude oil reached an all time high of 145.31 in July of 2008 and a record low of 1.17 in February of 1946.
Crude oil is expected to trade at 55.73 USD/BBL by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 52.75 in 12 months time.