Oil futures drop to pre-crisis lows

Brent crude futures plumbed their lowest level on Monday since July 2004, as speculation of a global oil glut continued to build.

Front month Brent crude futures were off by 0.52% as of 09:47 at $36.69 per barrel in ICE trading, after earlier having hit an intraday low of $36.12 per barrel.

The selling pressure on the oil complex continued to build-up after the Organisation for Petroleum Exporting Countries´ decision on 4 December to, in all but name, abandon its prodiuction targets.

Furthermore, the latest weekly survey data from oil field driling services outfit Baker Hughes on 18 December revealed that US drillers added 17 oil rigs, the most since July.

After an approximately 37% fall year-to-date oil prices were on track for a third consecutive annual drop.

Russian oil output unexpectedly reached a new record in the first nine months of the year, according to Bloomberg.