Rout in Oil Spurs Energy Stock Selloff While Dollar Strengthens
- Crude slides beyond $38 a barrel as OPEC abandons output limit
- Gold retreats as investors mull U.S. interest rate outlook
Deep Dive: Oil at Lowest Level Since 2009
Oil’s tumble to a six-year low ignited a rout in equity markets, as energy-related shares slid with currencies of commodity-producing nations. The dollar strengthened, while gold fell on rising prospects U.S. interest rates will be increased this month.
American crude sank past $38 a barrel to its lowest level since 2009 as OPEC abandoned its strategy of limiting production despite a global glut in the commodity. The Standard & Poor’s 500 Index fell as energy shares slid the most since Aug. 24, while Canada’s resource-heavy benchmark plunged the most in two months. Colombia’s peso slid to a record low as Norway’s krone and Russia’s ruble slumped. Gold fell from a three-week high as investors shifted their attention to the Dec. 16 Federal Reserve policy decision.