Oil prices have fallen in spite of signs of slowing drilling activity in the US.
Brent crude futures fell 45 cents at $48.15 a barrel, while the US crude dipped 37 cents at $45.33 a barrel, Reuters reported.
This month, the crude price is set for a drop of 11%.
For 2015 and 2016, most analysts have cut their forecasts for oil, mostly due to concerns of oversupply and tepid demand.
SEB chief commodity analyst Bjarne Schieldrop told the news agency: "We’ve been discussing the possibility that oil needs to move down to $30, but I think that is only if you run out of storage capacity and given that (there is) still quite substantial storage capacity, in my view you still have flexibility."
Following a fall in emerging markets, the International Monetary Fund is expected to revise its global economic growth outlook downwards.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataDrilling in the US has been witnessed a fall for four straight weeks.
Earlier this month, Baker Hughes reported that the number of rigs engaged in exploration and production across country has fallen by 1.2% to 644.