Economics
Brent Trades Near 12-Year Low as Iran Comeback to Swell Glut
- Iran's sanctions relief frees country to ramp up exports
- OPEC sees deeper decline in rivals' supply as U.S. falters
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Brent crude traded near a 12-year low in London, briefly dipping below $28 a barrel, as the lifting of international sanctions on Iran paves the way for increased supply amid a global glut.
Futures fell 1.3 percent after earlier dropping as much as 4.4 percent in London to the lowest since November 2003. Iran is beginning efforts to boost output and exports by 500,000 barrels a day now that restrictions have ended, Amir Hossein Zamaninia, deputy oil minister for commerce and international affairs, said Sunday. Saudi Oil Minister Ali al-Naimi dismissed supply concern with a forecast that prices will recover.