US crude oil drops drastically

Global Business

U.S. crude oil has dropped below $43 dollars a barrel for the first time since March.

The slide in prices continues after the sector posted its biggest monthly drop in July since 2008, sliding more than 20%.
Companies have slashed jobs, but not production. And now less demand from China and more supply from Iran are creating extra pressure on the industry.

US crude oil drops drastically

The slide in prices continues after the sector posted its biggest monthly drop in July since 2008, sliding more than 20%. Companies have slashed jobs, but not production. And now less demand from China and more supply from Iran are creating extra pressure on the industry.

CCTV America’s Nick Harper filed this report from New York.
Follow Nick Harper on Twitter @NickHarperFSNo

More details:

  • Two of the biggest U.S. energy companies, Chevron and Exxon Mobil, were hit hard this earning season, posting disappointing results well below expectations.
  • According to the U.S. Energy Information Administration, oil production has surged more than 80% since 2007. The oil producing nations are unwilling to reduce their output, despite laying off more than 100,000 workers worldwide.