Crude oil prices are seeing sharp declines to start the week as concerns mount about weaker demand in China due to the coronavirus. The unfolding crisis in the world's second-biggest economy has one major investment bank seeing the potential for a further 13% price drop in the coming months.
Brent crude oil, the benchmark for world oil prices, saw its biggest single-day percentage drop since September, falling over 4%, in intraday trading on the Intercontinental Exchange. Prices for April delivery fell as much as $2.35 per barrel to a low of $54.27 before recovering to around $54.94 by mid-afternoon.
The spread of the coronavirus and its impact on China, the second-largest global consumer of oil, is the main culprit for the move. China consumed 13.6 million barrels per day of crude oil last year, compared with the U.S.'s 20.5 million.
While U.S. demand stayed largely flat last year, China's demand rose 630,000 barrels …
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