Crude oil is getting smoked

11-Aug-2015 There goes crude oil again.

On Tuesday morning, West Texas Intermediate crude futures in New York fell 4% to as low as $43.03 per barrel. Brent crude, the international benchmark, was also lower, near $50 per barrel, after on Monday having its biggest one-day jump in a month.

We got OPEC's latest monthly production numbers Tuesday morning, and they showed that production surged to a three-year high in July. The 12-member oil cartel has overshot its production target for at least a year in a bid to maintain its market share.

After what seemed like a recovery in prices around May, crude continued its plunge late in June and collapsed 20% from recent highs into a bear market last month.

Analysts do not see the slide in commodity prices slowing down soon. As Business Insider's Myles Udland highlighted over the weekend, Goldman Sachs' commodities experts think we have entered a New Oil Order, where the barriers to entry are much lower and small shale producers can produce plenty of oil cheaply and quickly. (by AKIN OYEDELE, Business Insider)

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