Oil prices slipped more than 1% to close to $59 a barrel today, hitting their lowest level in almost two months, on concerns over the state of the global economy.

The market dropped 11% last week in its biggest weekly decline since late January as investors raised the possibility of another economic dip before any recovery, which could delay a rebound in demand for fuel.

U.S. crude oil for August delivery fell 70 cents to $59.19 a barrel this afternoon, after earlier falling to a low of $58.32, the lowest since May 18. London Brent fell 46 cents to $60.06 a barrel.

Nearly one year ago, on July 11 2008, prices had struck a record peak above $147 a barrel - but they have since slumped in line with tumbling demand for energy.