Oil tumbles $3 on warm U.S. weather

LONDON (Reuters) – Oil tumbled more than $3 to below $95 a barrel on Monday as unseasonably warm weather and worries of a looming recession in top oil consumer the United States outweighed fresh tensions between Iran and the U.S.

U.S. light crude for February delivery fell $2.79 to $95.12 by 1640 GMT, off lows of $94.47, extending losses from the previous session’s $1.27 decline.


London Brent crude was $1.15 down at $95.64.

Heating demand will be 38.5 percent below normal this week as temperatures rise well above normal in most parts of the U.S., the National Weather Service forecast. Demand for heating oil — the favored heating fuel of the Northeast region — is expected to average about 40 percent below normal this week.

Reuters