Oil Traders Cautious
In addition to the easing of Iranian sanctions, oil traders are cautious due to a potential slowdown in the global economy. On Monday, the International Monetary Fund said that growth is slowing in the euro area, Japan and the United Kingdom.
Related: Trump May Tap Into Emergency Oil Supply
Furthermore, trade wars could put the global economy into deeper risk territory.
“Oil’s sell-off is a continuation of the downward move that began earlier this month when the market realized that the supply of crude is set to rise,” said Fawad Razaqzada, a technical analyst at Forex.com.
For more market trends, visit ETFTrends.com.