Since the beginning of June, WTI oil futures have lost 30 percent. Over the whole history of West Texas Intermediate, such exchange rate dynamic has never been witnessed before.
There are only two weeks left until the calendar end of summer 2015, however any positive changes are neither tracked nor expected. Therefore, economists say that even in the worst times for the oil market WTI crude has never fallen so rapidly over the summer months.
The 30 percent plunge has beaten all of the previous crashes such as the decline in 1986 caused by overproduction, the 1998 drop amidst the financial crisis in Asia and the fall in 2008 due to the global financial crisis. This summer’s prices of the WTI benchmark are thus the new record low.
In 2011, WTI oil fell in a similar way during the summer months. The contraction of 21 percent was partly due to the civil war in Libya.
