Oil prices dip as results of Italian national elections threaten instability and disruption of euro zone’s recovery

27-Feb-13

New York’s main contract, light sweet crude for delivery in April, dipped to US$92.4 a barrel while Brent North Sea crude for delivery in April dipped to US$113.9. Oil weakened after Sunday’s national elections in Italy failed to produce a clear winner. Stability in Italy seems to be threatened, raising fears that the much-needed austerity measures for Italy could come to a standstill due to political infighting. The results also unnerved the markets that it might derail the euro zone’s nascent recovery.