WTI oil futures open Tuesday’s trading session hovering near $86 a barrel as weaker global stock markets hit crude oil prices and the US stock market fell two percent Monday after the German government suggested that an imminent solution to the European debt crisis was not at hand.<\/p>\n
Latest WTI Oil Price<\/strong><\/p>\n US Light crude oil futures for November 2011 delivery was trading at $86.18 a barrel, 05.00 GMT this morning in electronic trading on the NYMEX. The contract closed yesterday’s trading session at $86.34.<\/p>\n Stock Markets Head Lower<\/strong><\/p>\n A spokesman for German Chancellor Angela Merkel said an EU summit meeting this weekend will be just a step on a long road, sending stock markets back into a tailspin , that sent the New York and Toronto markets into an early slump that extended into the close of trading.<\/p>\n The Dow Jones industrial average dropped 246 points, or 2.1 per cent, to close at 11,398 yesterday.<\/p>\n In Asian stock markets this morning, Japan’s Nikkei 225 lost 1.5 percent to 8,742.57 and Hong Kong’s Hang Seng plunged 3.5 percent to 18,226.75. South Korea’s Kospi fell 1.5 percent to 1,836.50.<\/p>\n Concerns about a messy default by the Greek government have been the main cause behind many of the big swings on the world’s stock markets lately.<\/p>\n The fear is that a default would cause deep losses for European banks that hold Greek bonds. That could lead to a freeze in lending between banks and escalate into another major global financial crisis.<\/p>\n As a result of falling markets, oil prices also latched into the drop in confidence and followed suit lower. Gold futures fell $6.30 US an ounce to $1,675.50 an ounce. Silver and copper also fell.<\/p>\n