Oil prices plummeted on Thursday, joining global sell-offs in equities, as the escalating U.S.-China trade war came into the spotlight again, dampening the outlook for economic and oil demand growth a day after the EIA reported further increases in US stockpiles of crude.
WTI Crude plunged below the $60 a barrel handle for the first time since the end of March, and Brent Crude prices dipped below $70 per barrel for the first time since early April.
As of 11:25 a.m. EDT on Thursday, WTI Crude was plunging more than 5 percent—by 5.26% at $58.19, while Brent Crude was tumbling 4.45% at $67.83.
Both WTI and Brent are today on track for their worst daily and weekly drops in six months.
The oil and stock markets were hard hit on Thursday by the increased tension in the U.S.-China trade war, which has investors increasingly worried about the state of the global economy and, by extension, the outlook for global oil demand growth for the rest of the year.