Oil News

The economy in the world’s largest oil consumer will continue to contract “for some time,” Lawrence Summers said

Crude Oil declines on economic concerns and Swine flu

The economy in the world’s largest oil consumer will continue to contract “for some time,” Lawrence Summers said

Crude oil fell the most in a week on concern the U.S. economy will keep shrinking and the swine- flu outbreak will curtail air travel.

The economy in the world’s largest oil consumer will continue to contract “for some time,” Lawrence Summers, director of the White House National Economic Council, said yesterday. Increased output by non-OPEC producers has left the market oversupplied by about 720,000 barrels a day, said Algerian Oil Minister Chakib Khelil. “On the downside we have weak demand worldwide that’s leading to high inventories and massive spare capacity at the OPEC,” said Eugen Weinberg, analyst at Commerzbank AG in Frankfurt. “Joining these unknowns we now have the swine flu.” Crude Oil is trading at $49.60 as of 9:30am, London Time. Crude’s Pool-Position is 71% Long, meaning that most Finotec traders are buying the commodity.