NEW YORK (TheStreet) -- Texas light sweet crude oil prices continued falling Monday on concerns about slowing global demand and the impact of Saudi Arabia's oil output hike.
Trading was also influenced by the looming end of the U.S. government's bond buying program later this month and the effect of China's inflation problems on the dollar.
West Texas Intermediate light sweet crude oil for July delivery was falling $2.61 to $96.68 and the Brent Crude contract, earlier trading in positive territory, was down 98 cents to $117.80. The WTI is utilized in the U.S., while Brent crude, sourced in Europe, is bound for destinations all over the world.
Currently, U.S. oil storage levels are full, with supplies at record highs, at the main delivery point in Cushing, Okla. This, as U.S. oil demand continues to be softer than that of emerging economies such as China, which has become the world's number one energy consumer.Brent crude prices was up earlier in the day on the buildup of risk premiums, given the greater ties of Brent oil to the overall macroeconomic risk picture -- such as those relating to tensions in the Middle East and North Africa. The turnaround later in the day could explained by a bout of risk aversion after Standard & Poor's slashed Greece's credit rating by three notches.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV