Risk Aversion Sends Crude Oil Tumbling

The price of crude oil fell during afternoon trading yesterday, as euro-zone worries combined with disappointing US indicators caused investors to shift their funds to safe-haven assets. In addition, decreased demand for oil was highlighted by US stockpiles, which are currently near a 22-year high. The price of crude fell as low as $86.50 a barrel, down almost $1.70 for the day. Turning to today, the price of oil could see additional losses if the US Non-Farm Payrolls figure comes in below expectations and investors continue to shift their funds to safe-haven assets. Traders will want to pay attention to the EUR/USD. Should the pair continue its bearish trend, it may be a sign that the price of oil will go down as well.

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