Oil prices sink further to new multi-year lowsDecember 16, 2014 - 10:46 AMT PanARMENIAN.Net - Oil prices sank further to new multi-year lows in Asia Tuesday, Dec 16, with analysts weighing the possible political and economic fallout in oil-producing countries with little respite in the selling, AFP reports. U.S. benchmark West Texas Intermediate for January delivery fell 33 cents to $55.58 while Brent crude for January eased 46 cents to $60.60 in afternoon trade -- both contracts at levels not seen since mid-2009. WTI tumbled $1.90 Monday and Brent dipped 79 cents. Crude prices have plunged roughly 50 percent since June, weighed down by plentiful supplies, the stronger dollar and weak demand arising from the struggling global economy, according to analysts. News that HSBC's index of Chinese manufacturing activity had shown contraction also weighed on prices. "While the U.S. and the world as a whole will benefit from lower oil prices, there is a concern that those who lose out may be hit so hard that the fallout from their problems will outweigh the more diffuse benefits to the winners," research house Capital Economics said in a commentary. The London-based firm said the plummeting prices could force oil producers to cut spending and investment, hurting global demand. It added that the fallout could also be "geopolitical in nature" as "regimes dependent on high oil prices look for distractions from social unrest at home". On Monday, stocks in Argentina dived more than eight percent, dragged by plummeting oil company shares. Focus will now turn to a two-day meeting of the U.S. Federal Reserve that begins later Tuesday, with investors looking for clues about when it plans to raise interest rates. Related links: Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | Scholz hopes Armenia-Azerbaijan peace treaty will be signed this year German Chancellor Olaf Scholz hopes that a peace treaty between Armenia and Azerbaijan will be signed this year. Ucom equips four bus stops in Ijevan with free Wi-Fi Ucom now provides free Wi-Fi coverage in smart bus stops in four communities of Ijevan. Armenians stage more campaigns against territorial concessions to Azerbaijan Protesters blocked more roads across Armenia on Friday, April 26 in continuing attempts to scuttle territorial concessions to Azerbaijan. Czech-Armenian military cooperation discussed in Yerevan A delegation led by the Director General for the Industrial Cooperation Division of the Ministry of Defence of the Czech Republic visited Armenia. |