Oil Snaps Three-Session Rising Streak with Large Losses

Oil prices closed lower on Monday, amid increased concerns about the pace of economic recovery from the coronavirus pandemic with the rising number of infections with the new Delta variant, especially after indicators showed slower growth in activity in the U.S. and China last month.

PMI readings in the world’s two largest economies came below expectations in July, according to official data.

Brent crude futures for October delivery dropped by $2.52, or 3.3%, to close at $72.89 per barrel.

Meanwhile, the West Texas Intermediate (WTI) crude futures for September delivery lost $2.69, or 3.6%, to finish at $71.26 a barrel.

Today’s decline comes following three sessions of gains by both the U.S. and global benchmark crude contracts. It is also the biggest daily loss since July 19 and the lowest closing level since July 21.