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West Texas Intermediate crude

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Brent crude oil price has fallen to $51.12 per barrel, its lowest level since March 2009.

It follows yesterday’s 6% plunge in prices.

The fall appeared to have been prompted by Saudi Arabia cutting prices to Europe.

At the same time, the kingdom, OPEC’s largest oil-producing nation, raised them for Asian customers.

Some analysts said the price cuts reflected Saudi Arabia’s deepening desire to defend its market share in Europe.Brent crude oil price at new low

US oil fell further on January 6 to $48.01, having fallen below the symbolic threshold of $50 a barrel for the first time since April 2009 on January 5.

The prices of both Brent crude and US oil, known as West Texas Intermediate crude, have now fallen by more than 50% since mid-2014.

Investors are worried that a combination of global oversupply and weak oil demand could cause prices to tumble further.

However, the increase in production has come just as demand for oil in economies across the world from Europe to China – the world’s second-largest consumer of oil – has slowed.

Recent data also showed that Russia’s 2014 oil output hit a post-Soviet era high and exports from Iraq, OPEC’s second-largest producer, reached their highest since 1980.

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The US oil price has dropped below $50 a barrel for the first time since April 2009.

The price of Brent crude also fell on January 5, dipping more than 6% to trade at below $53 a barrel.

The price of both Brent crude and US oil, known as West Texas Intermediate crude, have now lost more than half of their value since mid-2014.

Investors are worried that combination of a global supply glut and weak demand could cause prices to tumble further.US oil price

US oil production has soared recently, as fracking – or the process of extracting oil from shale rock by injecting fluids into the ground – has revolutionized oil production in the country, transforming states such as North Dakota and Pennsylvania in the process.

However, the increase in production has come just as economies across the world – from Europe to China – have slowed their once voracious demand for oil.

This, combined with OPEC’s decision to continue extracting oil at its current pace, has left many investors worried.

That has in turn led shares of many of the world’s leading energy firms, from BP to Exxon Mobil, to decline sharply over the past few months.

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