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|16/05/2012||Crude Oil price lowest since December amid economic concerns|
The price of crude oil dropped to a six-month low Tuesday on renewed concern that Greece would be forced to leave the European common currency and trigger shockwaves across Europe.
Prices have been falling for most of the past two weeks as Western economies appeared to slow, likely reducing their demand for petroleum fuels, while crude production rose in Saudi Arabia and other oil-rich countries. In Greece, party leaders have failed to form a government after voters ousted numerous lawmakers that favoured spending cuts and other debt-trimming austerity measures prescribed by the European Union.
The austerity measures had briefly reassured investors and economists. But Greece is again undermining confidence in a eurozone economy that would be in recession if not for Germany. If Greece won't comply with eurozone spending reforms, analysts said, it raises doubts about the ability of other indebted eurozone countries to follow through as well