NEW YORK, Dec. 8 (UPI) -- With analysts slashing expectations, Brent crude oil prices dropped Monday to their lowest price in more than five years as the search for bottom continues.
Brent, a global benchmark based on North Sea oils, was off nearly $2 per barrel in early trading to post $67.14 for the January contract. That's the lowest price for Brent since October 2009 and a sign markets have yet to see the end to their declines.
The dip follows a Friday note from Morgan Stanley that expected Brent to settle at $70 for 2015, down more than 25 percent from its previous expectations.
A similar report in October from Goldman Sachs erased more than $1 per barrel for both Brent and West Texas Intermediate, the U.S. benchmark.
Oil prices have shed about 35 percent of their value since June. Recent slumps are in response to a decision from the Organization of Petroleum Exporting Countries to keep production static at 30 million barrels per day, despite low prices.
More oil from North American shale basins, coupled with weak economic recovery globally, means supply outweighs demands.
The January contract for WTI early Monday sold for $64.48, down more than $1.30 per barrel from the previous session.
WTI prices are approaching the point at which some U.S. drillers may struggle to make a profit, though a report last week from Baker Hughes found few signs of a slowdown in the Lower 48.
