Decline in oil price weighs on global stock markets

Jun 22, 2017, 6:53 AM EDT
(Source: journeyman62/flickr)
(Source: journeyman62/flickr)

Crude oil prices plummeted to seven-month low on Thursday sparking nervousness in the global stock markets as investors gave up expectations of higher inflation, which could have prompted stricter monetary policy from major central banks.

Britain's FTSE 100, Germany's DAX and France's CAC 40 all recorded a drop between 0.3-0.4 percent while the U.S. futures also bore the brunt, writes Reuters.

Besides oil, soft commodities like sugar and coffee were also trading at their year’s lowest, which is a concern for producers and exporter countries but could ease pressure on consumers should suppliers pass on the benefits, notes The Guardian