Crude Oil Prices Collapse as Russia, Saudi Arabia Hint at Output Boost

Crude oil prices plunged on Friday as Saudi energy minister Khalid al-Falih endorsed prior comments from his Russian counterparts calling for self-imposed output curbs to be relaxed, perhaps as soon as June. Gold prices edged lower as oil’s plunge pulled down energy-linked stocks, contributing to broader risk aversion that fed haven demand for the US Dollar.

The oil selloff continues early Monday as Asia Pacific traders take their turn to price in Friday’s news. Meanwhile, gold faces renewed selling pressure as risk appetite improves, boosting bond yields and sapping the appeal of non-interest-bearing assets. Investors’ chipper mood follows news that Italian President Sergio Mattarella vetoed the nomination of eurosceptic Paolo Savona to the post of Economy Minister.