WTI falls below $64,00 a barrel

• WTI loses more than 2% on Monday
• US production concerns and a strong dollar weigh

Crude oil prices continued to fall on Monday, as rising US production undermined the prevailing optimism surrounding global supply cut efforts by OPEC, while a stronger US dollar also put pressure on crude prices.

West Texas Intermediate crude oil fell to a low of $63.63 a barrel during the American session, although it later managed to climb back above $64.00/bbl. At time of writing, WTI trades at $64.03/bbl. 2.17% down on the day. Meanwhile, Brent crude lost more than 1.6% to $67.28 a barrel. 

Concerns over US production has continued to weigh on prices after Baker Hughes reported Friday the number of active US rigs drilling for oil rose by six last week. Both API and EIA also reported US production increases last week, offsetting somehow OPEC and Russia efforts to control output. 

Meanwhile, the US dollar continued to rise on Monday, building up on Friday’s NFP gains. A stronger greenback tends to weigh on dollar-denominated commodities as they become more expensive for holders of other currencies.