Oil resumes slide after brief rebound on short-covering | Reuters.
(Reuters) – Global crude prices fell again on Thursday, a day after a short-covering rally, as traders placed new bets that the market would resume a six-month rout on worries about a supply glut.
Benchmark Brent and U.S. crude each fell more than $1 a barrel to session lows in New York after initially extending Wednesday’s short-covering, which lifted prices by more than $3. They later retraced some losses, with Brent hovering at the psychologically-important $60 mark and U.S. crude trading above $55.
Traders braced for more selling in a market that had already lost nearly 50 percent of its value since June.
“We’re continuing to search for a bottom and might even see another significant drop before the year-end,” said Gene McGillian, an analyst at Tradition Energy in Stamford, Connecticut.
