Oil at lowest in year following global stock market tumble
* Brent, U.S. crude at lowest levels since Q3 2017
* OPEC+ to meet again if cuts not enough - UAE
* Physical markets weak as Asian refiners cut purchases (Recasts with updated prices, changes dateline; previousLONDON)
NEW YORK, Dec 24 (Reuters) - Oil fell more than 2 percent onMonday to the lowest in over a year as global stock marketstumbled under pressure from concerns about a U.S. governmentshutdown and worsening world economy.
Crude futures have fallen by more than 30 percent so farthis quarter to the lowest since the third quarter of 2017, asinvestors have grown increasingly wary of the impact to globalgrowth, and crude demand, from an escalating trade disputebetween the United States and China.
Markets across asset classes have come under pressure amidgrowth concerns intensified by a U.S. government shutdown.
Technology stocks led a broad sell-off on Wall Street onMonday, as the U.S. government shutdown threatened to spill intonext year and the White House moved into fire-fighting mode amidwhat is already the S&P 500's worst December since the GreatDepression.
All the 11 major S&P 500 .SPX sectors were lower, and allthe 30 components of the Dow Industrials .DJI were in the red,pushing them closer to bear territory.
The U.S. Senate has been unable to break an impasse overU.S. President Donald Trump's demand for more funds for a wallon the border with Mexico, and a senior official said theshutdown could continue until Jan. 3.
Investors have flocked to perceived safe-haven assets suchas gold and government debt, at the expense of crude oil andstocks.
Brent crude futures LCOc1 were down $1.37 a barrel to$52.45 by 11:50 a.m. ET (1650 GMT), having touched a session lowof $52.33, the lowest since Sept. 2017, while U.S. crude futures CLc1 fell $1.29 to trade at $44.30, after dropping to asession low of $44.10.
Brent fell 11 percent last week and hit its lowest sinceSeptember 2017, while U.S. futures slid to their lowest sinceJuly 2017, bringing the decline in the two contracts to 35percent so far this quarter.
The macroeconomic picture and its impact on oil demandcontinue to pressure prices. Global equities .MIWD00000PUS have fallen nearly 9.5 percent so far in December, their biggestone-month slide since September 2011, when the euro zone debtcrisis was unfolding.
The trade dispute between the United States and China andthe prospect of a rapid rise in U.S. interest rates have broughtglobal stocks down from this year's record highs and ignitedconcern that oil demand will be insufficient to soak up anyexcess supply.
The Organization of the Petroleum Exporting Countries andallies led by Russia agreed this month to cut oil production by1.2 million barrels per day from January.
Should that fail to balance the market, OPEC and its allieswill hold an extraordinary meeting, United Arab Emirates EnergyMinister Suhail al-Mazrouei said on Sunday.
"Oil ministers are already taking to the airwaves with a'price stability at all cost' mantra," said Stephen Innes, headof trading for Asia-Pacific at futures brokerage Oanda inSingapore. (Additional reporting by Jane Chung and Amaanda Cooper; Editingby Adrian Croft and Tom Brown) ((Jessica.Resnick-Ault@thomsonreuters.com; 646-223-6052;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.