Brent hit 11-year lows in early Monday trading, as the rise in global supply appears set to outpace demand again in 2016. Brent fell by as much as 2% to a low of $36.05/bbl Monday, the lowest since July 2004, and were down $0.64 at $36.24/bbl. WTI was down $0.50 at $34.23/bbl, hitting $34.12/bbl, its lowest level since 2009.
Brent has fallen by almost 19% so far in December. That’s the steepest decline since the October 2008 collapse of Lehman Brothers.
With oil output running close to record highs, with more oil soon to enter the global oil market from countries such as Iran (post-sanctions) and Libya (possible peace deal), the oil price is set for its largest monthly percentage decline in 7 years.