Oil futures fell again on Wednesday after a sharp slide in the previous session, as a rebound in COVID-19 cases in some countries undermined hopes for a steady recovery in global demand.
Brent crude LCOc1 was down 25 cents, or 0.6%, at $39.53 a barrel by 0455 GMT after dropping more than 5% on Tuesday to fall below $40 a barrel for the first time since June, as reported by Reuters.
Read alsoGlobal economy may face US$35 trln in losses over coronavirus – mediaU.S. crude CLc1 was down 28 cents, or 0.8%, at $36.48 a barrel, having fallen nearly 8% in the previous session.
Both major oil benchmarks are trading at around three month lows.
The global health crisis continues to flare unabated with cases rising in India, Great Britain, Spain and several parts of the United States.
The outbreak is threatening hopes for a global economic recovery that could reduce demand for fuels from aviation gas to diesel, although the price slump could lift refinery profits back into positive territory, Eurasia said in a note.