Oil price falls below key $40 per barrel mark

A stalling consumption recovery in Asia, the end of the US summer driving season, and increased supply from the Opec+ alliance signal a bleak short-term outlook for oil prices

lt could take three years for global oil demand to recover from the Covid-19 crisis. File picture.

The price of brent crude oil tumbled below $40 a barrel for the first time since late June and prices in New York also sunk in the wake of faltering demand and weaker equities dampening market sentiment.

Both Brent and West Texas Intermediate crude futures declined over 6% to the lowest levels in nearly three months.