The price of oil struggled to finish on a positive note on Thursday as it was pressured on concerns regarding the power of OPEC to enact the output reductions and rising stockpiles worldwide.
The Organization of the Petroleum Exporting Countries and non-members has pledged to curb productions at least the end of March 2018 in an effort to reduce global supply, which is currently bloated. However inventories are close to record highs and several traders are forecasting the prices to drop.
Looking at prices, U.S. light crude notched its six-week low as it lost 27 cents to settle at $44.32 per barrel on Thursday’s session, considered the weakest since November 2016. While international benchmark Brent crude also slumped by 10 cents and trades at $46.90 per barrel, lowest since May 5.
U.S. crude and Brent both lost all the gains made at the end of 2017 right after OPEC and other major producers has agreed the reduce production to support prices.
Technology stocks from major companies are currently under pressure and it made markets in the United States settle down on Thursday.
Amazon, Netflix, Facebook and Apple shares all slumped on the day. Snapchat parent Snap edged down by 4.92 percent at $17 per share. Alphabet as well dropped on Thursday after being downgraded by Canaccord Genuity analysts.The Dow Jones industrial average was slightly lower by 0.07 percent to finish at 21,359.90. The S&P 500 was 0.22 percent lower to settle at 2,432.46. Meanwhile the Nasdaq composite also fell by 0.47 percent to end at 6,165.50.