US crude oil prices hit 12-year low amid China demand, Iran supply concerns

On Monday US oil prices dropped to their lowest levels since 2003. Nymex WTI Crude Oil Futures fell below $32 amid fears of contracting demand in China, a stronger US dollar making dollar-traded oil more expensive for buyers abroad, and the global oil supply glut becoming even worse with the introduction of Iranian oil exports. The Shanghai Composite Index dropped another 5% on Monday, contributing to the fear of potential demand issues in China. Economic sanctions on Iran could be lifted as early as this month, which could add 3 million or more barrels of oil per day to the global supply.