Oil prices fell to their weakest levels this year following a report that Libya may shortly restore full production, adding to fears that weak global demand will create an oversupply on the market.
Brent crude, the international benchmark, fell as much as 5 per cent to $73.67 on Tuesday, its weakest level since December and the first time it has slipped below $75 since January. The US equivalent, WTI, slid by 4.5 per cent to $70.25.
The drop in prices came after Bloomberg reported that Sadiq al-Kabir, the central bank governor at the centre of a dispute between two rival factions, said there were “strong” indications of a compromise.
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