New York oil prices tumbled to a near six-year low underneath $44 per barrel on Friday, as record-high US crude inventories deepened worries over the global supply glut. West Texas Intermediate (WTI) for March delivery dived to $43.57 a barrel, a level last seen on March 12, 2009. The contract later stood at $43.87, down 58 cents from Thursday’s close. European benchmark Brent North Sea crude for March meanwhile rose nine cents to stand at $48.56 a barrel in london late afternoon deals.
"WTI Extended losses below $44 per barrel, showing the potential for a possible test of the $40 key level in the upcoming trading sessions if the sharp downside momentum continues," said Sucden analyst Myrto Sokou. Crude futures also fell sharply on Thursday after official data showed US crude stockpiles surged by 8.9 million barrels to 406.7 million in the week to January 23.