MELBOURNE- Oil prices fell for a second day on Wednesday on concerns that soaring COVID-19 cases in India will drive down fuel demand in the world’s third biggest oil importer.
Brent crude futures for June fell 52 cents, or 0.8 percent, to $66.05 a barrel after dropping 48 cents on Tuesday.
US West Texas Intermediate (WTI) crude futures for June fell 56 cents, or 0.9 percent, to $62.11 a barrel. The May contract expired on Tuesday down 1.5 percent at $62.44.
“You’ve seen refiners there (in India) scale back runs because demand has fallen with the spread of lockdowns. That’s clearly weighing on the market and sentiment,” said Lachlan Shaw, head of commodity research at National Australia Bank .
India, also the world’s third-largest oil user, on Tuesday reported its worst daily death toll from COVID-19 and is facing an oxygen supply crisis to treat patients. Large parts of the country are now under lockdown due to a huge second wave of the pandemic. — Reuters
