West Texas Intermediate Falls below $32

On Monday West Texas Intermediate fell 5% to trade at $31.34 per barrels, the lowest price since December 2003. Brent crude fell 6% to $31.90. Morgan Stanley investments councilors had expected that the current downturn in oil prices would not be as severe as in 1986, but the continued downward spiral in oil prices is worse than the 1986 crash due to conflict between Saudi Arabia and Iran and the global oversupply of oil.