Oil falls most since Gulf War; Kuwait, Gulf stocks nosedive – Kuwait Times

Oil falls most since Gulf War; Kuwait, Gulf stocks nosedive – Kuwait Times

NEW YORK: Oil prices suffered their biggest daily rout since the 1991 Gulf War yesterday as top producers Saudi Arabia and Russia began a price war that threatens to overwhelm global oil markets with supply.. The Saudi market, the largest in the region, dived 7.8 percent over the day, with energy giant Saudi Aramco plunging by 10 percent before recovering around half of that by close.. Oil prices heavily impact markets in the six-nation Gulf Cooperation Council (GCC) region as exports generate between 70 percent and 90 percent of public revenues.. Oil prices crashed as markets opened yesterday, with the benchmark Brent crude diving to $36 a barrel.. The Saudis "are responding to Russia's exit from output cuts by launching a price war," Bill Farren-Price, director of Britain-based R S Energy, told AFP.. Russia, one of the world's top producers alongside Saudi Arabia and the United States, also said it could lift output and that it could cope with low oil prices for six to 10 years.. Bank of America reduced its Brent crude price forecast to $45 a barrel in 2020 from $54 a barrel. ". We now expect Brent oil prices to temporarily dip into the $20s range