Oil is falling with renewed coronavirus fears

Oil prices retreated today, extending losses to the previous session, as both Brent crude and WTI fell by nearly 3% on Monday as coronavirus fears renewed after the emergence of a new rapidly spreading strain of coronavirus.

Brent crude futures, the global benchmark, fell 1.2% to $ 50.32 a barrel, and U.S. West Texas Intermediate crude futures fell 1.5% to $ 47.25 a barrel.

The Organization of Petroleum Exporting Countries OPEC and its allies are set to increase production by 500,000 barrels per day in January, and Russian Deputy Prime Minister Alexander Novak said on Monday that the increase in oil production should not lead to a glut.