By Matt Egan, CNN Business
US oil prices tumbled below $100 a barrel on Monday, unwinding a significant chunk of the recent spike caused by Russia’s invasion of Ukraine.
Oil plunged more than 8%, touching a low of $99.76 a barrel. That means oil has lost almost roughly quarter of its value since touching a near 14-year high of $130.50 a barrel on March 6.
It’s the first time oil has traded below $100 since March 1.
Brent crude, the world benchmark, dropped more than 7% to $104.35 a barrel in recent trading. That marks a sharp pullback from the recent peak of nearly $140 a barrel.
Traders blamed Monday’s losses concerns about Covid-19 lockdowns in China and hopes for progress in negotiations between Russia and Ukraine.
“You’re seeing some vicious selling,” lead oil analyst of the Americas at Kpler.
The selloff should ease fears of an energy-driven recession in the United States and, if sustained, should bring relief to drivers dealing with record gasoline prices.
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