Oil prices have experienced a further fall amid worries that the UK might vote to exit the EU next week, while the US Federal Reserve has indicated its plans to two rate increases.
Brent crude futures’ front-month LCOc1 saw a fall of 86 cents to $48.97 per barrel, while the front-month of US crude’s West Texas Intermediate (WTI) futures CLc1 dropped by 48 cents to reach $48.01 a barrel, reported Reuters.
Go deeper with GlobalData
According to Goldman Sachs, a barrel of crude will have to sell at $45-$50 for the market to see a deficit in supply in the second half of this year.
In the last few days, oil prices have been steadily dropping, losing around 7%.
A week ago, the price of Brent reached its highest level in 2016 at $53 a barrel due to supply disruptions, pimarily in Canada.
See Also:
UK polls are currently putting an EU exit ahead.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataEven though the US Federal Reserve did not change interest rates in June, it reduced forecasts of economic growth for this year and next year. However, it still indicated on making two rate increases in 2016.
