West Texas Intermediate crude Oil Prices fell below the key $70 level Monday. For the first time in more than a month as OPEC and its allies agreed to raise output, and as the delta Covid variant threatens global demand.
U.S. oil settled 7.51% lower at $66.42 per barrel for its worst day since September 2020, after trading as low as $65.47 during the session. The contract is now more than 13% below its recent high of $76.98 from July 6, which was the highest level in more than six years. International benchmark Brent crude slipped 6.75% on Monday to settle at $68.62 per barrel
UBS said that oil demand growth outpacing supply growth in the near term, we still expect a tight summer, which should boost Oil Prices. The firm envisions Brent climbing to $80 before retreating to $75 by the end of the year.According to AAA, the Oil Prices have returned to pre-pandemic levels, fuel prices have jumped. The national average for a gallon of regular gas stood at $3.17 on Monday, up 97 cents over the last year.