Crude Oil Moves Sharply Lower Amid Demand Concerns

(RTTNews) - Reflecting ongoing concerns about the outlook for demand, the price of crude oil moved sharply lower during trading on Tuesday.

Crude for March delivery slumped $1.01 to $78.18 a barrel, while the more actively traded crude for April delivery tumbled $1.42 to $77.04 a barrel.

The demand concerns offset the supply concerns triggered by the conflict in the Middle East.

Though Brent Oil Futures had touched a high of $93.79 a barrel and WTI Crude Oil Futures had traded at a high of $90.78 a barrel in the aftermath of the Israel-Hamas conflict, both the benchmarks are currently trading at prices below the levels that prevailed before the onset of the conflict, in early October.

Demand concerns spotlighted in the recent report by the International Energy Agency also weighed on sentiment.

Markets also keenly anticipate industry level data on crude oil inventories in the U.S. due on Wednesday.

The American Petroleum Institute's Weekly Statistical Bulletin had showed crude oil inventories jumping by 8.52 million barrels in the week ended February 9, exceeding the increase of 674 thousand barrels a week earlier.

Official data from the U.S. Energy Information Administration is due on Thursday.