Oil dropped 2% today on expectations of further demand destruction as the euro zone tumbled into recession and data showed a record decline in US retail sales.
US crude fell $1.08 to $57.16 by 5.39pm following a late rally yesterday on the back of gains in the stock market.
London Brent crude for January, the new front month, lost $1.93 to $54.31.
Crude oil prices have collapsed by about two-thirds since striking record peaks above $147 in July on concern that a prolonged global recession could slam the brakes on energy demand.
That, in turn, has sparked alarm among the OPEC cartel, whose member nations pump 40% of the world's crude supplies, because their oil revenues have been slashed.
OPEC will hold a special meeting in Cairo on November 29 a spokesman for the organisation said today amid some pressure in its ranks, notably from Iran, for a new output cut to hold up prices.
OPEC agreed on October 24 to reduce production by 1.5 million barrels a day from November 1, but prices have continued to slide since then.
