Oil prices fell to their lowest level in more than three years, dropping below $50 a barrel on Thursday, after shedding close to $100 since July as an ailing global economy pared consumption.
The sudden reversal has startled many experts. Oil futures on the New York Mercantile Exchange settled at $49.62 a barrel, down 7 percent, their lowest since May 2005. They have lost more than two-thirds of their value after settling at a peak above $145 a barrel in July.
Some analysts predict that oil could fall to $30 to $40 a barrel as the world economy worsens.
Is this the bottom fot oil prices? Have we witnessed a selling capitulation of the oil bulls?
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